CoreWeave Shares Fall 11% on Q1 Loss, Weak Guidance

CoreWeave shares plunged 11 percent Friday to close at $11.40 after the AI infrastructure provider released first-quarter results that beat revenue expectations but included a wider-than-forecast loss and disappointing forward guidance.

The company reported $2.08 billion in revenue for the quarter ended March 31, surpassing the average analyst estimate of $1.97 billion and marking a 127 percent increase from the year-earlier period. However, it posted a per-share loss of $1.40, exceeding projections of $1.20, with net losses widening to $740 million from $315 million a year ago. Operating expenses more than doubled to $2.22 billion, driven by heavy investments in data centers and GPUs to meet surging AI demand.

Investors reacted negatively to CoreWeave's outlook for the current quarter, with projected sales of $2.45 billion to $2.60 billion falling short of the $2.70 billion consensus. Full-year guidance of $12 billion to $13 billion also trailed expectations around $12.56 billion. The company raised the lower end of its 2026 capital spending forecast to $31 billion from $30 billion, while keeping the upper end at $35 billion, signaling continued aggressive expansion. Capital...