TLDR
- CoreWeave (CRWV) closed at $60.77 on Wednesday, up about 25%.
- Q3 revenue rose 168% to $3.66 billion, and adjusted operating income hit $379 million.
- The CEO said the company won’t use unsecured debt at current yields.
- A $4 billion investment-grade loan is reportedly in the works.
- 2026 revenue guidance now stands at $13 billion to $13.3 billion.
CoreWeave (CRWV) stock closed at $60.77 on Wednesday, up $12.04, or about 25%. The move came one day after the company posted its third-quarter results.
CoreWeave, Inc. Class A Common Stock, CRWV
The stock traded between $53.81 and $62.03 during the session. It still sits well below its 52-week high of $138.25.
Revenue rose 168% from a year ago to $3.66 billion. That is more than $1 billion higher than the prior quarter, according to CEO Michael Intrator.
Adjusted operating income jumped 75% to $379 million. Intrator said the adjusted operating margin reached double digits a quarter ahead of plan.
Debt Was the Real Story
Investors came into the report worried about borrowing costs. With interest rates rising, many questioned how CoreWeave would pay for its buildout.
The numbers show why. The company posted a net loss of $709 million, while interest costs hit $846 million in the quarter.
Intrator told analysts the company will not use the unsecured debt market at current yields. He added that it does not need to.
CFO Nitin Agrawal said CoreWeave will lean on delayed draw term loans backed by customer contracts. He said those credit facilities carry better interest rates.
Intrator also told CNBC he canceled his planned stock sales. Any future sales will only cover taxes tied to restricted stock units.
He said recent U.S. midterm results will not delay data center plans. About $9 billion in customer prepayments and deposits is expected in the next three months, which he called the company’s cheapest source of funding.
Higher Guidance and a New Loan
CoreWeave now expects 2026 revenue of $13 billion to $13.3 billion. Wall Street had averaged $12.9 billion.
Management also sees adjusted operating income rising about 26% to $1.3 billion. That would be another step up from this quarter’s $379 million.
In March, the company raised $8.5 billion through a loan backed by Meta Platforms contracts. That deal included a fixed-rate piece near 5.9%.
Bloomberg reports CoreWeave plans to raise at least $4 billion through a new investment-grade loan. Morgan Stanley and Mitsubishi UFJ are leading the deal.
Early talks point to a yield of 7% to 7.5%. That is about half the yield on the company’s current high-yield bonds.
The loan could reach investors as soon as next week, though plans are not final. It would be offered in phases and may be backed by chips and customer contracts.
On TipRanks, CRWV holds a Moderate Buy rating from 21 Buys, seven Holds and three Sells. The average price target is $107.96.
