CoreWeave Shares Dip Amid High Capital Expenditure Forecast
CoreWeave (NASDAQ: CRWV) closed at $71.88 on Friday, marking an 11.4% decline for the session, reverting from highs above $86 earlier in the week. This drop comes as the company forecasts capital expenditures between $31 billion to $35 billion for the year, significantly outpacing its $6.2 billion revenue from the past 12 months. Only 36% of CoreWeave’s contracted backlog, valued at $99.4 billion, is expected to convert into revenue within the next 24 months.
On the demand side, CoreWeave experienced a substantial 112% year-over-year revenue increase, reaching $2.08 billion in the first quarter. However, non-GAAP EBITDA margins decreased from 62% to 56%, aligning with declining operating income, which fell from $163 million to $21 million year-over-year. The company’s total debt surged to approximately $24.9 billion, raising concerns as net interest expenses climbed significantly, projected to reach $650 million to $730 million in Q2 2026.
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