NVIDIA has established itself as a veritable titan within the technology sector during the 2020s. Its staggering success extends beyond its own achievements, as the company has notably enhanced the fortunes of other firms through strategic partnerships and direct stock acquisitions.
This trend is exemplified by Intel and Nebius, whose share prices have skyrocketed by approximately 480% and 410%, respectively, over the past year.
Notably, Nvidia’s investments encompass more than just these entities. Through pivotal alliances, CoreWeave (CRWV 2.27%) and Nokia (NOK 7.26%) have also shown remarkable upward momentum. Below, we explore the potential that positions these stocks as likely leaders in Nvidia’s investment portfolio.
CoreWeave
Operating within the burgeoning neocloud domain, CoreWeave has garnered an impressive backlog, amassing over $99 billion in contracts.
This growth has been largely attributed to its collaboration with Nvidia, bestowing upon it a significant competitive edge. Notably, CoreWeave has become the inaugural cloud provider to integrate Nvidia’s Vera Rubin NVL72 platform into its ecosystem.
This expansion is a striking indication of CoreWeave’s popularity and its ongoing struggle to keep pace with surging demand.
In the first quarter of 2026, revenues reached nearly $2.1 billion, reflecting a substantial 112% year-over-year increase, albeit a deceleration from the staggering 167% growth recorded in 2025.
Yet, amidst such growth, the company reported a staggering $740 million loss in Q1, a significant rise from the $315 million loss in the corresponding quarter last year. This financial strain, however, pales in comparison to another pressing concern.
Investor trepidation increasingly centers around the company’s cash requirements necessary to satisfy burgeoning demand. In Q1, CoreWeave’s debt surged to nearly $25 billion, a formidable burden against its $4.8 billion book value.
Such leverage could prove detrimental to CoreWeave’s stock performance, particularly if AI growth fails to align with projections.
This existing debt may partially explain the stock’s decline of over 40% in the last year. However, the surge in backlog from $67 billion to $99 billion in a single quarter attests to its alignment with flourishing AI trends.
Today’s Change
(-2.27%) $-2.24
Current Price
$96.52
Key Data Points
Market Cap
$54B
Day’s Range
$93.50 – $98.10
52wk Range
$63.80 – $173.35
Volume
882.3K
Avg Vol
30.6M
Gross Margin
34.82%
Nevertheless, CoreWeave stock has appreciated over 40% since the year’s onset and currently trades at a price-to-sales (P/S) ratio of 8. While this figure exceeds the S&P 500’s average of 3.6, it remains below several AI growth stocks that exhibit sales multiples in the double digits.
For intrepid investors unafraid of risks, acquiring CoreWeave stock presents a tantalizing opportunity for substantial AI growth at an appealing valuation, which could yield significant returns for Nvidia and its followers.
Nokia
The inclusion of Nokia in Nvidia’s investment portfolio may raise eyebrows among discerning investors. Once a dominant player in the cellphone market, the firm faltered in the wake of the smartphone revolution that decimated its primary revenue stream.
In response to this seismic shift, Nokia transitioned to telecom equipment following its acquisition of Alcatel. This pivot, fortified by its partnership with Nvidia, affords the company a renewed competitive edge.
NVIDIA plans to integrate its ARC-Pro processors into Nokia’s 5G infrastructure, facilitating AI inferencing capabilities for cell towers while bolstering NVIDIA’s CUDA software ecosystem.
Furthermore, Nokia has entered collaborative efforts to modernize data center infrastructure, where its technologies will amalgamate switching and optical capabilities with Nvidia’s AI-empowered platforms.
Customers can anticipate tangible results from this partnership shortly. T-Mobile and the French telecommunications provider Orange are actively collaborating with Nokia and Nvidia to incorporate these advanced functionalities.
Additionally, the two companies are poised to jointly develop AI enhancements for the upcoming 6G cellular technology.
However, this promising alliance has yet to yield significant financial benefits for Nokia. During the first quarter, the company reported revenues of 4.5 billion euros ($5.1 billion), a mere 2% increase compared to the previous year. Moreover, the anticipated 3% revenue growth for 2025 offered only marginal improvement.
On a more positive note, Nokia’s Q1 profit reached 295 million euros ($335 million), signifying a 93% year-over-year increase, primarily attributable to 126 million euros in financial income. This contrasts starkly with the 49% profit decline noted in 2025, which was propelled by diminishing operating margins.
Nonetheless, Nokia’s stock has surged by approximately 170% in the past year, likely spurred by optimistic speculation about its future prospects.
Today’s Change
(-7.26%) $-1.01
Current Price
$12.96
Key Data Points
Market Cap
$78B
Day’s Range
$12.79 – $13.45
52wk Range
$4.00 – $17.45
Volume
5.3M
Avg Vol
110.2M
Gross Margin
43.47%
Dividend Yield
1.17%
Investors should therefore consider Nokia’s valuation judiciously. With a P/E ratio of around 86, the stock’s pricing reflects a correction in profitability combined with an upward trajectory in share price.
Conversely, the forward P/E of 34 suggests there may still be ample opportunity for investment in Nokia. As the company amplifies Nvidia’s AI capabilities within the telecommunications sector, this tech stock could well be poised for its most noteworthy performance in decades.
Source link: Fool.com.
