*Walter Bloomberg|Mar 28, 2025 13:23
CRWV NVDA - COREWEAVE'S TRADING DEBUT TO TEST INVESTOR DEMAND FOR AI
CoreWeave, a Nvidia-backed AI cloud provider, starts trading today after raising 1.5B in a weaker-than-expected IPO. Initially aiming for 2.3B at 47-55/share, it settled for 40/share, 35% below target.
Despite explosive revenue growth (15M in 2022 → 1.9B in 2024), losses soared to 937M (from 31M in 2022). The company relies heavily on debt and sells computing power to tech giants that also build their own data centers, a risk in downturns.
Nvidia shares fell 2% on CoreWeave’s struggles. Adding concern, its co-founders cashed out 489M in early funding rounds, raising investor skepticism.
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