(Reuters) -Artificial intelligence startup CoreWeave's ( CRWV ) shares closed up 42% at $52.57 on Tuesday, their third day of trading, above their initial public offering price of $40.

At close, the company added more than $7 billion to its market value.

On Friday, the Nvidia ( NVDA )-backed stock debuted at $39, giving the AI infrastructure firm a valuation of $23 billion on a fully diluted basis. CoreWeave ( CRWV ) had already taken a hit on Thursday when it downsized its IPO.

Nvidia ( NVDA ) contributed a $250-million order as part of CoreWeave's ( CRWV ) IPO, which raised $1.5 billion, Reuters reported last week.

Livingston, New Jersey-based CoreWeave ( CRWV ) provides access to data centers and high-powered Nvidia ( NVDA ) chips, which have become the most sought-after resource in the race to develop AI applications.

Founded as an Ethereum-focused crypto miner in 2017, CoreWeave ( CRWV ) pivoted to AI a few years later. It shuttered its mining business after "The Merge," Ethereum's 2022 upgrade, slashed rewards for miners.

In its IPO filing earlier in March, CoreWeave ( CRWV ) reported revenue of $1.92 billion in 2024, compared with $228.9 million a year earlier. Its net loss widened to $863.4 million during the same period from $593.7 million in 2023.

Roughly two-thirds of CoreWeave's ( CRWV ) revenue came from Microsoft, which is the company's biggest customer.

(Reporting by Juby Babu in Mexico City, additional reporting by Jaspreet Singh in Bengaluru; Editing by Vijay Kishore and Alan Barona)