CoreWeave Stock Hits New Highs: What’s Going On? – CoreWeave (NASDAQ:CRWV)

CoreWeave Inc. CRWV shares are trading higher Tuesday, extending gains after the company entered into a major long-term infrastructure agreement with Applied Digital Corp APLD.

What To Know: The deal, announced on Monday, involves two 15-year lease agreements through which Applied Digital will provide 250 megawatts of critical IT load to support CoreWeave’s AI and high-performance computing operations at a data center campus in North Dakota.

The agreement includes an option for CoreWeave to expand its presence at the facility with an additional 150 megawatts of IT load, potentially raising the total commitment to 400 megawatts. Applied Digital projects that it will generate approximately $7 billion in revenue from the contracts over the duration of the leases.

The site’s first 100-megawatt capacity is expected to be operational by the fourth quarter of 2025, with an additional 150-megawatt phase scheduled for mid-2026. A third expansion phase, which would raise the facility’s total load to 400 megawatts, is currently in planning and would be ready in 2027 if CoreWeave exercises its option.

The move signals CoreWeave’s ongoing expansion as a key infrastructure provider in the rapidly growing AI computing market. The company specializes in delivering GPU-accelerated compute for AI workloads and the Applied Digital partnership is viewed as a major step in scaling its operational footprint.

Investor enthusiasm around the deal helped drive a sharp rally in CoreWeave’s stock price as traders priced in the potential long-term value of the agreement amid rising demand for AI infrastructure. Applied Digital shares also surged more than 45% on Monday following the news, reflecting positive sentiment throughout the AI infrastructure sector.

CRWV Price Action: CoreWeave shares were up 23.5% at $148.49 at the time of publication Tuesday, according to Benzinga Pro.

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