CoreWeave drops 18% on wider-than-expected loss ahead of lock-up expiry

CoreWeave‘s stock dropped 18% after the renter of artificial intelligence data centers reported a bigger-than-expected loss.

In its second quarterly financial results as a public company, CoreWeave reported an adjusted loss of 27 cents per share, compared to a loss of 21 cents per share expected by analysts polled by LSEG.

CoreWeave’s results came as the lock-up period following its initial public offering is set to expire Thursday evening and potentially add volatility to shares. The term refers to a set period of time following a market debut in which insiders are restricted from selling shares.

“We remain constructive long term and are encouraged by today’s data points, but see near-term upside capped by the potential CORZ related dilution and uncertainty, and the pending lock-up expiration on Thursday,” wrote analysts at Stifel, referencing the recent acquisition of Core Scientific.

Shares of Core Scientific fell 7% Wednesday.

In the current quarter, the company projects $1.26 billion to $1.30 billion in revenue. Analysts polled by LSEG forecast $1.25 billion. CoreWeave also lifted 2025 revenue guidance to between $5.15 billion and $5.35 billion, up from a $4.9 billion to $5.1 billion forecast provided in May and above a $5.05 billion estimate.

Some analysts were hoping for stronger guidance given the stock’s massive surge since going public in March. Others highlighted light capital expenditures guidance and a delay in some spending until the fourth quarter as a potential point of weakness.

“This delay in capex highlights the uncertainty around deployment time; as go-live timing is pushed, in-period revenue recognition will be smaller,” wrote analysts at Morgan Stanley.

The AI infrastructure provider said revenue more than tripled from a year ago to $1.21 billion as it continues to benefit from surging AI demand. That also surpassed a $1.08 billion forecast from Wall Street. Finance chief Nitin Agrawal also said during a call with analysts that demand outweighs supply.

The New Jersey-based company, whose customers include OpenAI, Microsoft and Nvidia, also said it has recently signed expansion deals with hyperscale customers.

CoreWeave acquired AI model-monitoring startup Weights and Biases for $1.4 billion during the period and said it finished the quarter with a $30.1 billion revenue backlog.

— CNBC’s Jordan Novet contributed reporting.