Coreweave Vs Nvidia What S The Better Artificial Intelligence Ai

Bonisiwe Shabane

-Dec 2, 2025, 10:51 PM

coreweave vs nvidia what s the better artificial intelligence ai

These two stocks have benefited significantly from a surge in demand due to artificial intelligence. When you think of top artificial intelligence (AI) stocks to own, Nvidia (NVDA +2.95%) inevitably is one of the first ones that probably comes to mind. In recent years, it generated mammoth, life-changing returns for investors. But it's also the most valuable company in the world today, with a valuation of nearly $4.3 trillion. Investors may be looking for similar stocks, but perhaps smaller ones, that may possess more upside. CoreWeave (CRWV +6.67%) is one option that may fit the bill.

It rents out AI computing power, giving customers access to Nvidia's latest chips. It should benefit from Nvidia's continued growth and the growing demands of companies developing AI-powered products and services. And it's a much smaller company, at just a fraction of Nvidia's valuation. It's up big this year and coming off a stellar quarter. Which of these AI stocks makes for the better buy right now? With Nvidia, you're investing in a high-powered business that continues to dominate the AI chip market, being the go-to option for many tech companies.

In the trailing 12 months, the company has reported $148.5 billion in revenue, with profits totaling just under $77 billion. Those are incredibly impressive profit margins, which highlight just how much dominance the company has and the pricing power it possesses. And that's with export restrictions limiting its sales to China. Backed by Nvidia NVDA, CoreWeave CRWV stock has skyrocketed more than +300% since launching its IPO in late March, as investor confidence has swooned for the AI cloud infrastructure company. To that point, CoreWeave stock is trading over $170 a share, having an asking price that tops Nvidia shares at around $146. This certainly begs the question of whether the hype for CoreWeave stock is overdone or if the company is potentially a better AI investment than chip giant Nvidia.

Reshaping the AI infrastructure landscape, CoreWeave has become Nvidia’s top GPU cloud partner, ahead of traditional hyperscalers like Amazon AMZN, Microsoft MSFT, and Alphabet GOOGL. Having expertise in cutting-edge cloud services optimized for AI workloads, CoreWeave gained early access to Nvidia’s high-performance GPUs, including the much-coveted Blackwell chips. Furthermore, CoreWeave has helped Nvidia’s much sought-after AI chips build massive AI clusters that broke MLPerf training records, a widely recognized benchmarking suite designed to measure the performance of machine learning hardware, software, and... It’s noteworthy that MLPerf Inference evaluates how quickly and efficiently systems can make predictions using trained models in real-world scenarios like object detection, medical imaging, and generative AI usage. Thanks to its successful partnership with Nvidia, CoreWeave has attracted major clients including OpenAI, Meta Platforms META, and Microsoft. Notably, Microsoft accounted for 62% of CoreWeave’s revenue in 2024.

Being CoreWeave’s major GPU supplier and an early investor, it’s safe to say that Nvidia has earned significant revenue from the partnership and the appreciation of its equity stake of over 24 million CRWV... Nvidia is the leading artificial intelligence (AI) chipmaker, and it is evident through the company's impressive financials. CoreWeave rents out access to Nvidia's chips, and that has enabled it to generate incredibly strong revenue growth. When you think of top artificial intelligence (AI) stocks to own, Nvidia (NASDAQ: NVDA) inevitably is one of the first ones that probably comes to mind. In recent years, it generated mammoth, life-changing returns for investors. But it's also the most valuable company in the world today, with a valuation of nearly $4.3 trillion.

Investors may be looking for similar stocks, but perhaps smaller ones, that may possess more upside. CoreWeave (NASDAQ: CRWV) is one option that may fit the bill. It rents out AI computing power, giving customers access to Nvidia's latest chips. It should benefit from Nvidia's continued growth and the growing demands of companies developing AI-powered products and services. And it's a much smaller company, at just a fraction of Nvidia's valuation. It's up big this year and coming off a stellar quarter.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » CoreWeave has made a splash in the market as it quickly grows its cloud services business. Nvidia, on the other hand, is proving that its AI lineup of products is becoming more and more pervasive. Both companies are at the forefront of the AI revolution, but which one should you invest in?

CoreWeave is valued at a high multiple and has massive capital spending planned. The company just went public in late March, and shares have jumped about 270% since its initial public offering (IPO). This rapid growth has caught the attention of many investors, who are now wondering if Nvidia's shine is fading and if it's time to buy CoreWeave instead. However, I would argue that this is a flawed perspective. Investors may be taking a breather after the early exponential gains in Nvidia stock. Growth in the business itself has also slowed, though that was inevitable.

Sales of its advanced chips in the data center segment had been growing like a weed. Revenue in that segment has been increasing in each consecutive quarter for the last two years. In the most recent fiscal quarter, that growth rate slowed to 10%, as seen below. Despite this trend, it's clear that AI demand hasn't yet peaked. Remember, these are still sequential quarterly increases in data center sales. For perspective, fiscal first-quarter revenue was a 73% jump compared to the prior year period.

Management also guided investors to expect further revenue growth in the current quarter. So, while an unsustainable growth rate slows, the company is still solidly in growth mode. That's because it's not just Nvidia's advanced GPU and CPU chips driving sales and expanding AI infrastructure. Its AI ecosystem includes interconnect technologies, the CUDA (compute unified device architecture) software platform, and artificial intelligence processors that are part of many different types of architectures. CEO Jensen Huang recently touted Nintendo's new Switch 2 gaming console, for example. The unit includes Nvidia's AI processors that Huang claims 'sharpen, animate, and enhance gameplay in real time.'

When it comes to investing in stock artificial intelligence (AI) in 2025, these two are rather appealing, yet distinct opportunities: Nvidia and CoreWeave. These two ride on the wave of the AI boom but still find different positions in the AI ecosystem. The following article presents a breakdown of the current financials, business strategies, growth opportunities, and threats of both companies to help you determine which of the AI stocks may be a better fit. One company that is out in front of the pack when it comes to AI chipmaking is Nvidia (NASDAQ: NVDA), with its advanced AI-focused GPUs that drive the most capable AI models and data... The revenue of the company rose 114% year over year, and profits were soaring as the GAAP earnings per share rose 148% to $2.94. During the latest reported quarter (end April 2025), Nvidia had a sales figure of 44.1 billion, a rise of 69% compared to the last year, and 12% versus the prior quarter.

Nvidia has an impressive profitability around 73% gross margin, reflecting its pricing power and its dominance in its industry despite its export restrictions that constrain its sales in China. These have been partially lifted as Nvidia has agreed to share 15% of the AI chips sales revenue with the U.S. government, paving the way forward to benefit fully on the Chinese market. There will prove to be many winners as artificial intelligence (AI) infrastructure continues to grow and AI end-uses expand. Nvidia (NVDA +2.41%) has been the Wall Street darling surrounding everything AI for the past two years. CoreWeave (CRWV +5.61%) has been getting the love most recently, though.

Shares of the AI hyperscaler providing cloud services have soared about 185% in just the past month as of this writing. Nvidia stock has increased 24% in that time. CoreWeave just went public in late March, and the shares have jumped about 270% since that initial public offering (IPO). Investors may wonder if Nvidia's shine is fading, and it's time to buy CoreWeave instead. I'd argue that is flawed thinking, however. Investors may be taking a breather after the early exponential gains in Nvidia stock.

Growth in the business itself has also slowed, though that was inevitable. Sales of its advanced chips in the data center segment had been growing like a weed. Revenue in that segment has been increasing in each consecutive quarter for the last two years. In the most recent fiscal quarter, that growth rate slowed to 10%, though, as seen below. Despite that trend, it's clear AI demand hasn't yet peaked. Remember, these are still sequential quarterly increases in data center sales.

For perspective, that fiscal first-quarter revenue was a 73% jump compared to the prior year period. Management also guided investors to expect further revenue growth in the current quarter. So, while an unsustainable growth rate slows, the company is still solidly in growth mode. That's because it's not just Nvidia's advanced GPU and CPU chips driving sales and expanding AI infrastructure. Its AI ecosystem includes interconnect technologies, the CUDA (compute unified device architecture) software platform, and artificial intelligence processors that are part of many different types of architectures. Written by Robert Izquierdo for The Motley Fool->

The artificial intelligence (AI) industry is booming, presenting great investment opportunities. Two prominent AI businesses to consider investing in are newcomer CoreWeave (NASDAQ: CRWV), which had its initial public offering (IPO) on March 28, and veteran Nvidia (NASDAQ: NVDA). Nvidia has a long history of success stretching back to the creation of its famed graphics processing unit (GPU) in 1999. CoreWeave offers cloud computing infrastructure tailored for AI, and when it went public, Nvidia bought shares. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now.

Continue » Does the up-and-coming CoreWeave have what it takes to make a good AI investment for the long haul? Or is tried-and-true Nvidia a safer choice in the competitive AI market? There will prove to be many winners as artificial intelligence (AI) infrastructure continues to grow and AI end-uses expand. Nvidia (NVDA) has been the Wall Street darling surrounding everything AI for the past two years. CoreWeave (CRWV) has been getting the love most recently, though.

Coreweave Vs Nvidia What S The Better Artificial Intelligence Ai

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