Nvidia Vs Coreweave Which Ai Stock Is Better To Buy

Bonisiwe Shabane

-Dec 2, 2025, 11:37 PM

nvidia vs coreweave which ai stock is better to buy

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. 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. 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. 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... AMZN Quick QuoteAMZN GS Quick QuoteGS MS Quick QuoteMS NVDA Quick QuoteNVDA CRWV Quick QuoteCRWV You follow Tirthankar Chakraborty - edit Amid the rapidly growing artificial intelligence (AI) market, NVIDIA Corporation (NVDA Quick QuoteNVDA - Free Report) saw a significant rise in sales of data center graphics processing units (GPUs), resulting in an astonishing 33,300%...

Meanwhile, another AI-focused company, CoreWeave, Inc. (CRWV Quick QuoteCRWV - Free Report) , 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.

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. Which stock fits your portfolio depends on appetite for risk, timeline, and belief about AI’s next phase. Nvidia’s GPUs are widely regarded as the industry standard for AI training and inference. That technological lead has translated into a commanding market share across data centers. Nvidia’s product lineup extends beyond AI servers.

GPUs also serve gaming, simulation, robotics, and autonomous vehicle platforms. That business diversity helps smooth revenue volatility. CoreWeave concentrates on AI infrastructure and cloud GPU services. That focus has fueled very fast revenue growth, far exceeding rates typical at mega-cap peers. CoreWeave’s ability to pivot to alternative chips could be a strategic plus if competitors emerge with superior AI silicon. Its hyperscaler customers want flexibility; that creates an opening for infrastructure specialists.

Investors looking for high-growth opportunities have turned to the artificial intelligence (AI) sector in recent years. This is as companies operating in the space have delivered impressive revenue growth -- in the double and triple digits -- and forecast strong long-term prospects. Why is the picture so bright? AI promises to offer users significant advantages, such as efficiency, performance, and lower costs -- and this has prompted companies to jump on board. Those that are crucial to the AI infrastructure buildout, such as providers of computing power, have been the first to benefit in this AI boom. And two great examples are Nvidia (NVDA +0.47%) and CoreWeave (CRWV +2.36%).

The former is the world's No. 1 AI chip designer, and the latter is a company that rents out access to computing power. Nvidia has seen its shares advance nearly 800% over three years, and CoreWeave's stock has surged 268% from its March initial public offering (IPO). Both of these players represent compelling AI investments. But which is the better high-growth AI buy right now? Let's find out.

Nvidia makes the most sought-after graphics processing units (GPUs), or chips, to power key AI tasks like the processes of training a model and powering its "thinking" so that it can solve problems. Tech giants such as Meta Platforms and Alphabet as well as other companies aiming to win in AI have flocked to Nvidia -- they recognize the importance of using the very best tools out... And interest has been so strong that as Nvidia launched its Blackwell architecture and chip late last year, demand surpassed supply. Still, Nvidia managed to roll out the platform without major glitches, and Blackwell delivered $11 billion in its very first quarter on the market. All of this demonstrates the power of Nvidia's market position. 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.

Nvidia Vs Coreweave Which Ai Stock Is Better To Buy

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