CoreWeave Bonds Near 15% Yield as Shares Slide
Investor concern over AI borrowing pressured CoreWeave shares and debt, while yields on two of its bonds approached 15%.
Key takeaways
- CoreWeave shares fell 16% on Wednesday, according to the article.
- Yields on CoreWeave bonds due in 2031 and 2032 were about 14.9% and 14.8%.
CoreWeave shares fell 16% on Wednesday as investors grew concerned about borrowing to fund artificial intelligence infrastructure. Yields on its bonds also rose, with the 2032 bond at 14.8% and the 2031 bond around 14.9%.
As of 16:49 UTC Wednesday, CoreWeave shares traded at $66.38, down 14.69% from the previous close. Bond yields move inversely to prices.
The pressure extended to other technology companies: Oracle shares fell nearly 7%, Nebius dropped 9% and Dell fell 10%. JPMorgan expects hyperscalers to spend $800 billion this year, with annual spending projected to exceed $1 trillion by 2027.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
