CoreWeave stock fell more than 11% in after-hours trading on May 8 after the company posted Q1 2026 results that fell short on the bottom line.
CoreWeave, Inc. Class A Common Stock, CRWV
The stock was trading around $114 following the selloff, down from prices above $129 earlier that week.
CoreWeave reported a loss of $1.40 per share for Q1 2026. Wall Street had expected a loss of $0.92 per share. That gap was hard to ignore.
The company also issued cautious guidance for the rest of the year, pointing to rising infrastructure costs and growing competition in the AI cloud space.
Revenue was a different story. CoreWeave brought in $2.08 billion for the quarter, up 127% year over year. That beat analyst expectations of $1.97 billion.
The company also said its revenue backlog grew and that it expanded total active power beyond one gigawatt during the period.
DA Davidson kept its Buy rating on CRWV after the print, setting a price target of $175. The firm held its positive view despite the earnings miss.
While investors were digesting the earnings miss, CoreWeave’s largest insider was already selling.
Magnetar Financial LLC, which holds more than a 10% stake in CoreWeave, executed four separate sell transactions on May 8, the same day as the report.
The firm sold over 2.7 million shares at prices between $129 and $139, cashing out a total of $370.45 million.
A separate filing showed Magnetar affiliates also sold 157,368 shares on May 7 at prices between $129.73 and $133.00, totaling about $20.7 million.
These sales were conducted through various Magnetar Funds, for which Magnetar Financial LLC serves as the investment adviser.
The May 8 sale is not a one-off. Over the last three months, corporate insiders have sold a combined $1.9 billion worth of CRWV stock.
That volume has pushed CoreWeave’s insider activity rating to “Negative” on TipRanks.
Insiders sell for many reasons, and not all of them signal trouble. But the scale here has drawn attention given how strongly the stock had been running.
CRWV had gained 59% year-to-date before the earnings drop and was up roughly 95% over the prior 12 months.
InvestingPro noted that CoreWeave appears overvalued at current levels based on its Fair Value calculations.
On TipRanks, CRWV carries a Moderate Buy consensus rating, based on 14 Buy ratings, nine Holds, and one Sell. The average price target sits at $133.70, implying about 17% upside from current levels.
The most recent analyst action came from DA Davidson, which reiterated its Buy rating with a $175 target following the Q1 report.
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