Magnetar Financial has disclosed a $15.62 billion stake in CoreWeave (CRWV), making the AI infrastructure company the largest position in its portfolio.
Data from the firm’s latest 13F filing shows that it holds 95.8 million CoreWeave shares, accounting for 76% of assets under management.
In a new Bloomberg Technology interview, managing partner David Snyderman says the bet reflects Magnetar’s conviction in CoreWeave’s trifecta of market differentiation.
“I think AI infrastructure… it really comes down to three things. It’s skill. It’s scale, and it’s scarcity.
So I’ll start with scale. When we started investing in CoreWeave, we were talking about 100 GPU clusters, and we thought that was going to be difficult. You know now they’re putting in 100,000 GPU into clusters, and they’re going to do a million GPU into clusters. And so the scale is just massive.
Then you go to the skill, and what you compare it to is it’s like an F1 car instead of your family sedan. This is really, really hard to do. So companies like CoreWeave, they are one of the few in the world that can actually do this.
And then to your question is the scarcity. People say there are not enough GPUs and there’s not enough power. But the issue is that the demand is just off the charts today. Every company we talk to, our entire channel check just says everyone needs more GPUs.”
Magnetar Capital is a multi-strategy hedge fund founded in 2005 and headquartered in Evanston, Illinois, just outside Chicago. Based on its latest 13F filing, the firm reported it manages $20.6 billion across credit, energy, equities, and alternative assets.
Earlier this week, trillion-dollar brokerage firm Raymond James set a $130 price target for CRWV, believing the firm can hit $20 billion in annual recurring revenue by 2027. The firm also pointed to the technical barriers that make scaling difficult, and they argued that CoreWeave’s ability to integrate hardware, software, and customer demands gives it an edge in a market where execution risk is often underestimated.