Shares of CoreWeave are surging on Tuesday after a host of Wall Street banks initiated coverage on the recently IPO’d cloud computing company with largely bullish views.

Among those was Bank of America, where analyst Brad Sills rated the company a buy with a price target of $42.

“We see room for sustained share gains in the large AI infrastructure as a service industry, forecasted to reach $79 billion in 2028 (per Gartner), +62% 3-year CAGR, significantly outpacing the general purpose cloud IaaS at 21%,” he wrote. “Calls with customers validate CoreWeave as a best of breed provider.”

The Nvidia-backed firm is able to deploy GPUs faster than its competitors with lower failure rates and better utilization rates thanks to its proprietary software, access to energy, and technology, he added, while trading at a discount to data center peers.