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Luke Kawa

CoreWeave surges on flurry of options market demand

Demand for upside in CoreWeave, the recently-IPO’d cloud computing company, is heating up in the options market.

As of 11 a.m. ET, over 17,000 call options have already changed hands, about in line with the 10-day average for an entire session. And 50-strike and 45-strike calls with an expiry at the end of this week are seeing the most activity.

All that leveraged demand has sent shares as much as 10% higher on Tuesday.

The amount of put options traded relative to calls is at its lowest ever in its short history.

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SpaceX gets a wave of bullish ratings from Wall Street analysts

SpaceX received more than a dozen positive analyst calls on Tuesday — including from major Wall Street banks — as they initiate coverage on Elon Musk’s space and AI company.

SpaceX went public on June 12 at a $2.2 trillion valuation, the largest debut in history. While the company hasn’t yet posted a profit, it seems to have convinced Wall Street that it will get there and grow its valuation on the way.

Of the at least 17 analysts that gave a rating on Tuesday, all but one gave it a “buy” or “outperform” rating. MoffettNathanson was "neutral."

The ratings come as SpaceX joined the Nasdaq 100 index, a benchmark tech-heavy basket of companies that underpins millions of portfolios. The inclusion adds built-in demand for the stock from index funds and ETFs.

Still, SpaceX fell more than 5% on Tuesday amid a broader sell-off, and is currently effectively flat from its opening price of $150 a share.

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