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CoreWeave Stock Dips Ahead of Earnings, CEO Cashes Out Some Chips

MarketDash
CoreWeave shares are sliding in premarket trading as investors weigh a multi-million dollar stock sale by the CEO against upcoming earnings and a mixed technical picture.

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So, here's the scene for CoreWeave Inc. (CRWV) on a Friday morning: the stock is heading lower. It's down about 2.92% in premarket trading, hovering around $94.30. Why the dip? Well, the company is set to report earnings next week, and that's always a bit of a nervous time. But there might be a little more to the story.

Adding a touch of intrigue to the pre-earnings jitters is some insider activity. CEO and President Michael Intrator decided to cash out a portion of his holdings. According to an SEC filing, he sold 32,455 shares of Class A common stock across multiple transactions on February 11th. That chunk of change was worth roughly $7.72 million. When the boss sells a few million dollars' worth of stock right before earnings, some investors can't help but raise an eyebrow, even if it's just part of a planned diversification strategy. It adds a bit of an overhang to the mood.

Let's look at the technical picture, which is telling a story of two timeframes. On one hand, the stock is facing some headwinds. It's currently trading 3.3% below its 100-day simple moving average and a more significant 12.2% below its 200-day moving average. That suggests some pressure on the longer-term trend.

On the other hand, there's some short-term resilience. The stock is still holding 1.6% above its 20-day moving average and a solid 10.3% above its 50-day average. Zooming out, the 12-month performance is undeniably strong, with a gain of 142.85%. The Relative Strength Index (RSI) sits at 54.87, which is basically neutral territory—not screaming "buy" or "sell" on its own. The Moving Average Convergence Divergence (MACD) indicator is flashing a mildly bullish signal, with the MACD line above the signal line, though the histogram suggests the upward momentum is pretty gentle at the moment.

All of this is happening with the earnings report looming. The company is scheduled to release its financials on February 26th, which is just six days away. The consensus estimates are calling for a loss of 65 cents per share on revenue of $1.53 billion.

What do the professional watchers think? The overall analyst consensus is a Buy rating, with an average price target sitting at $125.70. But the recent moves have been a mixed bag. In late January, Macquarie maintained a Neutral stance with a $115 target, and Mizuho also stayed Neutral while raising its target to $100. The most bullish recent action came from Deutsche Bank, which upgraded the stock to Buy and lifted its price target to $140.00.

So, to sum up the Friday morning action: CoreWeave shares are ticking down as the market digests a CEO stock sale, evaluates a conflicting technical setup, and braces for next week's earnings numbers, all while analysts mostly remain optimistic about where the stock could go from here.

CoreWeave Stock Dips Ahead of Earnings, CEO Cashes Out Some Chips

MarketDash
CoreWeave shares are sliding in premarket trading as investors weigh a multi-million dollar stock sale by the CEO against upcoming earnings and a mixed technical picture.

Get CoreWeave Inc - Class A Alerts

Weekly insights + SMS alerts

So, here's the scene for CoreWeave Inc. (CRWV) on a Friday morning: the stock is heading lower. It's down about 2.92% in premarket trading, hovering around $94.30. Why the dip? Well, the company is set to report earnings next week, and that's always a bit of a nervous time. But there might be a little more to the story.

Adding a touch of intrigue to the pre-earnings jitters is some insider activity. CEO and President Michael Intrator decided to cash out a portion of his holdings. According to an SEC filing, he sold 32,455 shares of Class A common stock across multiple transactions on February 11th. That chunk of change was worth roughly $7.72 million. When the boss sells a few million dollars' worth of stock right before earnings, some investors can't help but raise an eyebrow, even if it's just part of a planned diversification strategy. It adds a bit of an overhang to the mood.

Let's look at the technical picture, which is telling a story of two timeframes. On one hand, the stock is facing some headwinds. It's currently trading 3.3% below its 100-day simple moving average and a more significant 12.2% below its 200-day moving average. That suggests some pressure on the longer-term trend.

On the other hand, there's some short-term resilience. The stock is still holding 1.6% above its 20-day moving average and a solid 10.3% above its 50-day average. Zooming out, the 12-month performance is undeniably strong, with a gain of 142.85%. The Relative Strength Index (RSI) sits at 54.87, which is basically neutral territory—not screaming "buy" or "sell" on its own. The Moving Average Convergence Divergence (MACD) indicator is flashing a mildly bullish signal, with the MACD line above the signal line, though the histogram suggests the upward momentum is pretty gentle at the moment.

All of this is happening with the earnings report looming. The company is scheduled to release its financials on February 26th, which is just six days away. The consensus estimates are calling for a loss of 65 cents per share on revenue of $1.53 billion.

What do the professional watchers think? The overall analyst consensus is a Buy rating, with an average price target sitting at $125.70. But the recent moves have been a mixed bag. In late January, Macquarie maintained a Neutral stance with a $115 target, and Mizuho also stayed Neutral while raising its target to $100. The most bullish recent action came from Deutsche Bank, which upgraded the stock to Buy and lifted its price target to $140.00.

So, to sum up the Friday morning action: CoreWeave shares are ticking down as the market digests a CEO stock sale, evaluates a conflicting technical setup, and braces for next week's earnings numbers, all while analysts mostly remain optimistic about where the stock could go from here.