CoreWeave Inc. (NASDAQ:CRWV) stock jumped more than 7% Tuesday as AI-linked technology stocks rallied and investors scooped up shares following a prolonged decline. The Nasdaq gained 0.95%, while the S&P 500 rose 0.50%.
Technology stocks led Tuesday's gains, with the Technology Select Sector SPDR Fund (NYSE:XLK) rising 1.51%. The sector ranked second among 11 S&P 500 sectors.
CoreWeave's rally may also reflect bargain hunting and short covering after recent losses. However, broader market sentiment remained mixed. Seven sectors declined, while the advance-decline ratio stood at 0.6.
Technical Analysis
Despite Tuesday's rebound, CoreWeave remains in a downtrend.
The stock trades 17.8% below its 20-day simple moving average of $64.99 and 41.2% below its 200-day average of $90.89.
Its 20-day average remains below its 50-day average. A death cross formed in July when the 50-day average fell below the 200-day average.
The moving average convergence divergence (MACD) indicator remains below its signal line, suggesting weak momentum.
Resistance stands near $63.89, while the 52-week low of $49.46 provides key support.
Earnings And Analyst Outlook
CoreWeave is scheduled to report third-quarter earnings Nov. 10.
Analysts expect a loss of $1.16 per share, compared with a loss of 8 cents a year earlier. Revenue is expected to reach $3.55 billion, up from $1.36 billion.
The stock carries a consensus Buy rating and an average analyst price forecast of $126.33.
UBS recently lowered its price forecast to $105, while Morgan Stanley cut its forecast to $70. Piper Sandler reduced its forecast to $124.
MarketDash Edge Rankings And ETF Exposure
CoreWeave has a bearish Momentum score of 1.84, according to MarketDash Edge.
The weak reading suggests Tuesday's rally has yet to reverse the broader downtrend.
Investors can gain exposure to CoreWeave through exchange-traded funds such as the iShares Future AI & Tech ETF (NYSE:ARTY), ARK Next Generation Internet ETF (NYSE:ARKW) and CoinShares Bitcoin Mining ETF (NASDAQ:WGMI).
CRWV Price Action
CoreWeave shares gained 7.18% to $53.75 at last check Tuesday, according to market data.
