coreweave reported better-than-expected quarterly sales and raised its 2026 outlook on Tuesday, showing demand for artificial intelligence infrastructure remains strong despite concerns about a market slowdown. Stock prices rose in after-hours trading.
The earnings announcement comes at a particularly volatile time for CoreWeave and its neo-cloud peers, as AI trading has soured the market. Nvidia
Here is the company’s performance compared to the LSEG consensus:
Loss per share was $1.27. It is not immediately clear if the number is comparable to the loss of $1.16 expected.Revenue: $3.66 billion vs. $3.55 billion expected
Coreweave’s sales increased 168% from approximately $1.36 billion in the same period last year, according to the announcement. The company posted a net loss of $709 million, or $1.27 per share, compared with a net loss of $110 million in the same period last year. Adjusted earnings do not include stock-based compensation.
Management has revised its 2026 forecast upwards, expecting adjusted operating income to range from $1.275 billion to $1.375 billion and revenue from $13.0 billion to $13.3 billion. Analysts surveyed by Visible Alpha expected adjusted operating profit to be $1.07 billion, while analysts surveyed by LSEG expected 2026 revenue to be $12.86 billion.
In August, CoreWeave expected adjusted operating profit to be between $960 million and $1.15 billion and revenue between $12.4 billion and $13.2 billion.
CoreWeave has lost more than 40% of its value over the past month as investors shift away from companies most closely tied to AI infrastructure. Rising interest rates have squeezed lenders out of the market, raising concerns about continued access to capital. Yields on some Coreweave bonds have recently exceeded 16%.
“While the business is operating well, we still face a challenging funding environment,” Joe Tiguey, portfolio manager at Equity Armor Investments, said in an email. “Strong demand is encouraging; the cost and availability of capital remains critical.”
CoreWeave plans to raise most of its 2027 funding through customer upfront payments and financing from hardware partners, with the company also planning to raise “a limited amount,” CEO Mike Intrator told analysts on a conference call.
Neocloud friends Neviuswhose stock is down by a similar amount, is scheduled to report earnings on Thursday. Nebius stock rose slightly following CoreWeave’s results.
Both companies, and several other providers of cloud-based graphics processing units, are particularly dependent on Nvidia to provide GPUs and necessary capital throughout the ecosystem. In Washington, D.C., Nvidia shares fell nearly 10% early in the week as pressure mounted on the company over the Huang scandal. On Tuesday, Nvidia’s board announced it had hired Wachtel, Lipton, Rosen & Katz to investigate Huang and determine whether national security or trade secrets were violated.
CoreWeave investors are also keeping an eye on next week when major customer Anthropic plans to list on the Nasdaq. Anthropic indicated in its updated IPO prospectus on Tuesday that the company could be valued at about $1.4 trillion after selling its shares. Anthropic has signed a contract to build an entire data center to meet its needs. “We believe we can have a long-term relationship with the AI Institute,” said Intrator, co-founder of CoreWeave.
During the quarter, CoreWeave announced the establishment of its first data center in Asia and unveiled its Forge service for running and evaluating AI models.
Management still expects active power to reach 1.85 GW by the end of 2026. CoreWeave is targeting full-year capital spending of $37 billion to $39 billion, which would represent 155% growth at the midpoint of the range. Analyst estimates compiled by Visible Alpha were for $37.69 billion.
Coreweave had approximately $47 billion in debt at the end of the third quarter, according to a statement. Like its bigger rivals on the cloud, Amazon and oracle
“If industry-wide data center construction is delayed, there will be a shortage of installed compute, and the ripple effect could be that GPU prices remain high for an extended period of time,” Intrater said.
“We could sell all of the capacity that we have to current buyers that are in the queue. We are choosing not to,” Intrator said. We are choosing to bring to market when our infrastructure is further along. Because we believe this will lead to improved economic output of the superior infrastructure we have. ”
“If we choose to focus only on committed backlog, we expect 2027 capex to remain at the same level as 2026 capex, while revenue and EBITDA will increase significantly,” Agrawal said.
This story is developing. Please check back for the latest information.
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