Cloudflare Jumps 11%, Nebius Surges 9% as AI Cloud Stocks Defy NVIDIA’s Slide; CoreWeave Rallies 6% on Wayve Deal
While NVIDIA slides on a startling report about its CEO, the cloud companies that buy its chips are drawing buyers back. One of them just posted what its CEO calls a best-ever quarter, but a few numbers underneath complicate the…
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AI cloud stocks are climbing while the chipmaker that supplies much of their hardware moves the other way. Cloudflare (NYSE:NET | NET Price Prediction) stock is at $297.22, up 11% in afternoon trading, as buyers keep piling in after its third-quarter earnings beat. Nebius Group (NASDAQ:NBIS) stock is at $140.70, up 9%, as the AI cloud provider heads into its own quarterly report.
At the same time, CoreWeave (NASDAQ:CRWV) stock is up 6% to $49.18 after the company signed a multi-year cloud computing deal with British autonomous driving startup Wayve. This is all happening while NVIDIA (NASDAQ:NVDA) stock is at $177.40, down 5%. AI shares are drawing buyers back after last week’s post-midterm selloff, even with NVIDIA stock lagging.
Cloudflare’s Best Quarter Ever Keeps the Rally Going
Cloudflare reported its Q3 2026 results after the close on November 5. The company’s revenue rose 39.2% year over year (YoY) to $782.51 million, topping the $738.30 million consensus, according to Cloudflare’s earnings release. On a per-share basis, Cloudflare’s adjusted earnings of $0.38 beat the $0.3434 estimate.
CEO Matthew Prince called it “Cloudflare’s best quarter ever” and credited “our fastest revenue growth in nearly four years, while expanding profitability.” Management raised Cloudflare’s full-year 2026 revenue outlook to $2.963 billion to $2.964 billion and guided its Q4 2026 revenue to $845 million to $846 million.
What the Peer Group Says About Cloudflare’s Rally
Nebius is climbing ahead of its Q3 2026 report, expected before the market opens on November 12. Analysts expect Nebius to post revenue of $905 million to $907 million, which would mean growth of more than 500% YoY, and an adjusted loss of 69 cents to $1.11 per share. Options pricing implies a post-earnings move of 17% or more. Investors are likely to focus on Nebius’s capacity guidance, 2027 run-rate projections and infrastructure spending.
CoreWeave’s gain comes with a dated catalyst of its own. Under the deal reported on November 9, Wayve will use CoreWeave’s NVIDIA Blackwell-based infrastructure to train and test its driving models. Wayve already uses Weights & Biases, which CoreWeave acquired in 2025. Financial terms weren’t disclosed. Its quarterly earnings are also coming up.
NVIDIA’s decline runs on a separate track from the cloud names. Yahoo Finance reported on November 9 that NVIDIA is investigating CEO Jensen Huang’s relationship with an alleged Chinese spy.
Oracle (NYSE:ORCL) stock is at $119.16, up 3%, a smaller gain than the neocloud names. IREN stock is at $21.98, up 2%, also trailing Nebius and CoreWeave.
Why Cloudflare Makes Money Differently From the Neoclouds
Cloudflare runs a global edge network that sells security, networking and developer tools on a subscription basis to millions of organizations. Prince presented the company on the call as “the first agentic cloud,” with developers building AI agents on its Workers platform. That model ties Cloudflare’s growth to developer adoption and security demand across a broad customer base.
Nebius and CoreWeave rent GPU computing capacity to AI labs, hyperscalers and enterprises, and both buy their chips from NVIDIA (we highlighted seven of the power, cooling, and networking suppliers riding the same data-center expansion in a free report). CoreWeave reported a revenue backlog of approximately $104 billion as of June 30, while Nebius disclosed $37.5 billion in remaining performance obligations. Oracle pairs its AI cloud with an enterprise software franchise, and IREN owns the land, power and data centers behind its shift from crypto mining.
What Comes Next for Cloudflare and the AI Cloud Rally
The next test for Cloudflare is whether its growth can stay near the pace management guided for Q4. The bulls can point to accelerating revenue, a 17.5% adjusted operating margin and a higher full-year outlook. On the flip side, Cloudflare’s reported gross margin fell to 71.2% from 74%, and $4.4 billion in convertible notes remain outstanding.
For Nebius, the upcoming report could decide whether its run-up holds against high expectations. A conservative investment approach may be warranted until Nebius’s earnings report is released.
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David Moadel is financial writer specializing in stocks, ETFs, options, precious metals, and Bitcoin. David has written well over 1,000 articles for leading online publications, helping investors understand markets, income strategies, and risk.His work has appeared in The Motley Fool, InvestorPlace, U.S. News & World Report, TipRanks, ValueWalk, Benzinga, Market Realist, TalkMarkets, Finmasters, 24/7 Wall St., and others.With a master’s degree in education, David has taught at the elementary, high school, and college levels. That teaching background shapes his writing style: clear, educational, and practical. David has also built a loyal social-media audience by providing trustworthy financial content on YouTube, X/Twitter, and StockTwits.
