Overview

• CoreWeave’s stock has fallen roughly 17% from its June peak and dropped nearly 4% on Friday following Needham’s downgrade over lofty valuation concerns.
• The company is proceeding with its $9 billion all-stock acquisition of Core Scientific to secure additional data-center power capacity for its AI infrastructure.
• About 290 million shares will become available for trading in August when lock-up agreements expire, increasing potential selling pressure.
• CoreWeave does not expect to break even until late 2026, underscoring substantial cash burn and deferred profitability.
• Despite the recent pullback, the stock remains up 216% since its March IPO, reflecting sustained investor enthusiasm for AI growth prospects.