CoreWeave ( CRWV -4.99%) and Circle Internet Group ( CRCL 1.87%) both went public earlier this year, and each has already delivered impressive gains. Since March, CoreWeave’s stock price has tripled, while Circle’s shares have surged fourfold since June.
Several hedge fund managers acquired one of these stocks during the second quarter. The following billionaires are especially notable, as their funds have outperformed the S&P 500 (SNPINDEX: ^GSPC) over the past three years, making their investment choices worth watching.
- Philippe Laffont of Coatue Management bought 3.3 million shares of CoreWeave, making it his largest holding at 8% of his portfolio.
- David Abrams of Abrams Capital Management picked up 275,000 shares of Circle, establishing a new position that now makes up about 1% of his portfolio.
- Ken Griffin of Citadel Advisors acquired 718,600 shares of Circle, starting a small position that represents less than 1% of his portfolio.
Continue reading to discover how CoreWeave and Circle are driving technological innovation in their respective fields.
Image source: Getty Images.
CoreWeave: Leading the next era of cloud computing
While cloud computing itself isn’t new, CoreWeave is transforming the sector by building data centers specifically for artificial intelligence (AI). The company delivers infrastructure and software solutions that enable clients to train, optimize, and deploy AI models and applications. Its recent purchase of Weights & Biases has also brought widely used developer tools onto its platform.
CoreWeave maintains a strong partnership with Nvidia, often giving it early access to the latest chips. Its technology stack is tailored for AI workloads, allowing its platform to outperform conventional cloud services and offer customers lower costs. In fact, CoreWeave frequently achieves top results in MLPerf benchmarks, which are recognized as the industry standard for evaluating AI performance.
These strengths have recently earned CoreWeave the title of technology leader among AI cloud providers. Research firm SemiAnalysis gave CoreWeave its highest rating, placing it ahead of larger players like Amazon, Alphabet's Google, and Microsoft. Analysts noted, "We are starting to see some enterprises looking into renting from neoclouds, and most are gravitating toward CoreWeave."
CoreWeave’s client list includes major names such as Google, Meta Platforms, Microsoft, Nvidia, and OpenAI. The company recently expanded its agreement with OpenAI, raising the total contract value to $22.4 billion, up from $11.9 billion when the deal was first announced in March 2025. Additionally, a new agreement requires Nvidia to buy any unused computing resources through 2032.
To put things in perspective: The cloud computing industry is currently valued at around $940 billion, and Grand View Research projects it will grow to $2.4 trillion by 2030. CoreWeave is well placed to capitalize on this expansion. The stock trades at 14 times sales, which is reasonable for a company expected to grow revenue by 90% per year through 2027.
Circle Internet Group: Transforming the future of global finance
Stablecoins combine the reliability of fiat currencies with the speed and security of blockchain, enabling quick and low-cost transactions. Circle issues USDC and EURC, stablecoins pegged to the U.S. dollar and the euro, respectively. The company also offers developer tools that allow businesses to integrate digital asset storage and payments into their products.
The Circle Payments Network (CPN) has the potential to enhance the global financial landscape by speeding up settlements and cutting costs for remittances, supplier payments, and payroll. While traditional wire transfers via SWIFT (Society for Worldwide Interbank Financial Telecommunications) can be expensive and take several days, CPN typically offers lower fees and near-instant settlement.
Circle’s second-quarter results were strong. Revenue climbed 53% to $658 million, fueled by robust growth in interest income from reserve assets invested in short-term U.S. Treasury bonds, thanks to a higher volume of circulating USDC. Adjusted EBITDA rose 52% to $126 million.
Earlier this year, Congress passed the Genius Act, which could accelerate stablecoin adoption by establishing a federal regulatory framework. Soon after President Trump signed the bill, Circle announced a collaboration with Fidelity National Information Services, the world’s second-largest payment processor, to provide both domestic and international stablecoin transactions to financial institutions.
To sum up: The stablecoin sector is currently valued at about $300 billion, but analysts expect rapid expansion in the coming years. Citigroup estimates the stablecoin market could reach $1.9 trillion (base case) to $4 trillion (bull case) by 2030. As stablecoins become more widespread, Circle stands to be a key beneficiary. The stock trades at 14 times sales, a reasonable valuation given Wall Street’s forecast of 40% annual revenue growth through 2027.
