CoreWeave neocloud firm drops 29% this month to $34 billion
Business
CoreWeave, a big name in the neocloud world, just saw its stock drop 29% this month, bringing its value down to $34 billion.
The main reasons? Rising bond yields and growing concerns about the company's financial stability have made investors nervous.
CoreWeave unsecured bonds yield about 15%
CoreWeave's debt is now much more expensive: unsecured bonds are yielding about 15%, and insurance against default (credit default swaps) has spiked 30% this month.
It's not just them; other neocloud companies like Nebius and IREN are also struggling.
Still, CEO Mike Intrator is trying to calm everyone by pointing to their flexible funding plans.