Backblaze (BLZE) Surges 34% After Analyst Upgrade Reflects CoreWeave Deal Impact

• Backblaze (BLZE) shares surged 34% following an analyst upgrade that significantly revised the cloud storage company price target, validating the investment case for its CoreWeave partnership
• The upgrade likely reflects updated financial models incorporating the revenue impact of the 335 million dollar deal with CoreWeave for B2 cloud storage services
• Backblaze upgrade from a dedicated analyst adds institutional credibility to the bull case for BLZE as an affordable cloud storage alternative gaining enterprise traction

Backblaze shares surged 34% on June 23, 2026, following an analyst upgrade that revised the company price target materially higher. Analyst upgrades that coincide with large share price moves typically reflect either a meaningful revision to revenue estimates based on new information, a change in sector thesis that makes the stock more attractive relative to peers, or both. In Backblaze case, the upgrade likely incorporates updated financial modeling of the 335 million dollar revenue agreement with CoreWeave, which was announced in proximity to this period and represents transformative revenue relative to Backblaze historical quarterly run rates as a smaller cloud storage provider.

Backblaze has positioned itself as the cost-competitive cloud storage alternative to Amazon S3, Google Cloud Storage, and Microsoft Azure Blob Storage. The company B2 Cloud Storage service charges significantly lower egress fees than hyperscaler alternatives, which has resonated with cost-conscious developers, content creators, and medium-sized businesses managing large data volumes. The CoreWeave partnership is particularly strategic because CoreWeave is a fast-growing AI cloud compute provider that creates large amounts of model training data and inference output that needs to be stored affordably, making Backblaze natural infrastructure partner for the AI cloud ecosystem.

For BLZE investors, the analyst upgrade signals that institutional coverage is beginning to reflect the company improved revenue visibility from the CoreWeave deal and any other enterprise partnerships that may follow. Backblaze has historically been covered primarily by smaller research shops, so upgrades from analysts with broader institutional distribution can meaningfully expand the potential investor base. Key metrics to monitor in upcoming earnings include B2 Cloud Storage revenue growth rate, enterprise customer count, and gross margin trajectory as larger contracts contribute a growing share of revenues relative to the lower-margin computer backup business that predates the cloud storage pivot.

Source: GuruFocus. AI synthesis by market.news — not financial advice.