Coreweave Vs Nvidia Which Ai Stock Is Best For Your Portfolio

Bonisiwe Shabane

-Dec 2, 2025, 11:38 PM

coreweave vs nvidia which ai stock is best for your portfolio

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. 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.

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.' Written by Tirthankar Chakraborty for Zacks-> Amid the rapidly growing artificial intelligence (AI) market, NVIDIA Corporation NVDA saw a significant rise in sales of data center graphics processing units (GPUs), resulting in an astonishing 33,300% increase over the past decade... Meanwhile, another AI-focused company, CoreWeave, Inc.

CRWV, with a smaller market cap of $47 billion, is also experiencing growth, prompting investors to wonder if it can achieve similar success. Let’s examine which company currently has more growth potential, especially after both companies released positive earnings reports for the second quarter. NVIDIA recently reported positive growth in both top and bottom lines for the fiscal second quarter. In the quarter, NVIDIA’s revenues increased by 56% from $30.04 billion a year ago. The generative AI boom has helped NVIDIA post year-over-year revenue growth of more than 50% for nine successive quarters. During the fiscal second quarter, CEO Jensen Huang was expected to receive authorization from the U.S.

government to sell its H20 chips to China. However, NVIDIA didn’t sell any such chips to China; instead, they gained $180 million by selling H2O inventory to a customer located outside of China. Hey there, fellow investors and tech enthusiasts! If you’re anything like me, you’ve been watching the AI boom with wide eyes and a wallet that’s itching to get in on the action. I mean, artificial intelligence isn’t just some sci-fi dream anymore—it’s powering everything from chatbots that can write your emails to self-driving cars that might one day let us nap on the commute. But with so many players in the game, picking the right stock can feel like trying to choose between pizza toppings when you’re starving—everything looks good!

Today, we’re diving into a head-to-head comparison between CoreWeave and Nvidia, two heavyweights in the AI space. CoreWeave is this up-and-coming cloud computing wizard that’s all about providing the GPU power AI needs, while Nvidia is the OG chipmaker that’s basically synonymous with AI hardware. We’ll break down their strengths, risks, market positions, and why one might edge out the other for your investment bucks. By the end, you’ll have a clearer picture of where to park your money in this fast-moving sector. Stick around; this could be the insight that turns your portfolio from meh to magnificent. Oh, and full disclosure: I’m not a financial advisor, so do your own homework, but let’s geek out on this together!

Nvidia has been around the block, folks. Founded way back in 1993, they’ve evolved from gaming graphics cards to becoming the backbone of the AI revolution. Their GPUs are like the Swiss Army knives of computing—versatile, powerful, and everywhere. In fact, according to recent stats from Statista, Nvidia holds about 80-90% of the market share in AI accelerators. That’s not just dominance; that’s straight-up monopoly vibes. Investors love them because their revenue has skyrocketed, with AI data center sales jumping over 400% year-over-year in some quarters.

It’s like watching a rocket launch, and you’re along for the ride. But it’s not all smooth sailing. Nvidia’s stock has had its ups and downs, especially with market volatility. Remember the chip shortage drama during the pandemic? Yeah, that affected them, but they bounced back stronger. What keeps them ahead is their innovation pipeline—things like the Blackwell architecture that’s promising even faster AI processing.

If you’re betting on the long game, Nvidia feels like that reliable old friend who’s always got your back in a tech pinch. One fun analogy? Think of Nvidia as the Coca-Cola of AI chips. Everyone knows the brand, it’s in every store (or data center), and while there are knockoffs, nothing quite hits the spot like the original. Now, let’s talk about CoreWeave. This company’s a bit newer on the scene, starting as a crypto mining outfit before pivoting to AI cloud services.

They’re basically renting out massive GPU clusters to AI developers who don’t want to build their own supercomputers. It’s genius, right? In a world where AI training costs can run into millions, CoreWeave is like the affordable Airbnb for your neural networks. Backed by big names like Nvidia itself (yep, irony alert), they’ve raised billions in funding, with valuations soaring to around $19 billion as of mid-2024. Their growth is explosive—revenue reportedly tripled in a year! Today, August 27, is Nvidia’s turning point.

A new era of AI is here, and companies are fighting for your investment. On one side, you have NVIDIA, the chip giant that basically owns AI. On the other, CoreWeave, an upstart that went from mining crypto to powering ChatGPT. Here's the thing: AI infrastructure spending is about to explode from $87.6 billion this year to nearly $200 billion by 2030. That's a 17.7% AGR that makes your savings account look like a rounding error. But which stock should you buy?

After a deep dive into the numbers, NVIDIA wins for most investors. NVIDIA owns $4.33 billion worth of CoreWeave stock, about 24 million shares. They're not just selling chips; they're betting on the entire AI ecosystem. Here's why and when CoreWeave might make sense for your portfolio. Investors weighing a high-growth challenger against an industry titan face a classic dilemma: chase outsized upside or lean into stability. The current showdown centers on CoreWeave, a fast-growing AI infrastructure specialist, and Nvidia, the dominant supplier of GPUs powering modern AI workloads.

Coreweave Vs Nvidia Which Ai Stock Is Best For Your Portfolio

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