CoreWeave Stock Soars 42% Following Weak IPO Debut

The Nvidia-backed AI cloud firm rebounds sharply as investor confidence grows, buoyed by OpenAI's record $40 billion funding round.

CoreWeave's stock surged 42%, closing at $52.57 on April 1, 2025, after initially falling below its IPO price of $40.
The company's IPO, the largest U.S. tech IPO since 2021, was downsized to $1.5 billion at a $23 billion valuation due to weak demand.
Investor sentiment improved following OpenAI's $40 billion funding round, which highlighted continued strong interest in AI infrastructure.
CoreWeave's growth is bolstered by strategic partnerships with Nvidia, OpenAI, and Microsoft, though concerns remain over its financial risks and reliance on key customers.
Reports indicate Google is in talks to rent CoreWeave's Nvidia-powered servers, signaling further demand for its AI-focused cloud infrastructure.