CoreWeave's (CRWV) Stock Falls 53% from Peak — Is It Still Worth Buying?
CoreWeave, an AI infrastructure provider that went public in March 2025 at $40 per share and reached a peak of $183.58 by June 2025, has since fallen to around $86 as of September 2026 — a drop of over 53%. The company repurposed from Ethereum mining in the wake of the crypto crash and now operates more than 51 data centers across North America and Europe. It leverages over 250,000 Nvidia GPUs to provide cloud-based AI computing services at speeds up to 35 times faster and with 80% lower costs compared to AWS or Azure. Despite its rapid growth — revenue surged 168% in 2025 to $5.1 billion and is expected to grow another 151% in 2026 to reach $12.9 billion — CoreWeave remains unprofitable under GAAP accounting due to high debt levels, with a debt-to-equity ratio of 14.3 as of its latest quarter. The company has raised capital through share and debt offerings, which could become burdensome if interest rates remain elevated or AI demand slows. Analysts still project strong growth for CoreWeave in the coming years, forecasting revenue and adjusted EBITDA to grow at CAGRs of 101% and 110%, respectively. Its contracted backlog has grown significantly — reaching $104 billion by mid-2026 — offering visibility into future performance as AI adoption continues.
Topics: AI infrastructure cloud computing earnings growth market performance