One of the hottest names traders are chasing right now is CoreWeave (CRWV) — and a big part of the story is its relationship with Nvidia (NVDA), the king of the chip stocks…
So let’s walk through exactly what I’ve been seeing and why it matters.
I had a buddy at the mall ask me about CoreWeave when it was around $100. I told him it could keep going up, but it was already up a lot — it’s up 175% the past month alone.
Since then, it has rallied another 60% — and done it on fumes.
I tried getting in around $80, then again around $110, and said it was probably headed to $150. Sure enough, it hit that target in just two days before dropping back down for no reason.
Now it’s starting to wiggle back up.
The key here is understanding what’s driving the move — and Nvidia is front and center.
Why Nvidia’s Stake in CoreWeave Matters
Let me break it down…
Nvidia owns 24.8 million shares of CoreWeave. At $155 a share, that’s just shy of $4 billion. So when CoreWeave starts ripping, Nvidia’s stock tends to move right with it.
That’s why people were scratching their heads wondering why Nvidia was climbing — this was the driver.
A Deeply Strategic Relationship
Nvidia is basically CoreWeave’s top customer. It’s a deeply intertwined relationship, similar to the deals Microsoft (MSFT) and Google parent Alphabet (GOOG; GOOGL) are structuring now.
For example, Microsoft will back a startup with $40 million, but in return that company must use Microsoft’s cloud and servers. It’s a win-win for Microsoft — they get their money back through services.
So now Nvidia is doing the same kind of thing with CoreWeave.
That dynamic makes CoreWeave’s IPO market action even more interesting. No one really has a solid handle on the company yet, and the IPO market is red hot.
Funds are chasing alpha, and CoreWeave is one of the few movers in this space. The fact that these kinds of deals are happening is actually a bullish sign for the overall market.
When investors are hungry for IPOs, it’s typically a healthy signal.
Bottom line — keep CoreWeave on your radar. It’s volatile, and Nvidia’s stake makes it a powerful lever in the market right now. Just be aware of how intertwined these names are and how quickly sentiment can shift.
That’s the real story behind the Nvidia-CoreWeave power play.
Order Flow:
This is for informational and educational purposes only. These are not official alerts issued by Lance, but rather some interesting orders picked by the team at Lance Ippolito Trading.
When you look at these plays, always take the market maker move into consideration.
You can be right on the direction but still lose money if the stock doesn’t move enough. That’s where the market maker move comes in clutch.
With puts, they’re often downside hedges in case a stock tanks, especially around earnings. The further out of the money they are, the more likely they are to be hedges.
Also be sure and check when the company’s earnings date is because many of the plays we post here are centered around earnings!
And finally, always remember the golden rule when it comes to buying calls: Buy dips, sell rips — and don’t chase!
If a stock’s moved a ton already today, maybe wait for a pullback.
There is inherent risk in trading. Trade at your own risk.
Note: If no date is listed after the month, it’s the monthly expiration (third Friday).
The team at Lance Ippolito Trading
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*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk.
P.S. The 4PM Payout Setup Delivered Nothing But Winners in May
If you couldn’t join in last month, there’s another chance to tag along as we go after these daily cash opportunities in June!
