CoreWeave shares fall over 30% in October as investors balk at $52 billion debt load for AI data centers

CoreWeave's revenue more than doubled to $2.5 billion in the second quarter, but its unsecured bonds yield about 15% and credit default swap spreads have passed 11%, prompting bond investors to flee despite the revenue growth. Nvidia CEO Jensen Huang said CoreWeave's cost of capital is decreasing, yet the stock fell 15% on Oct. 15. The company, originally founded as Atlantic Crypto in 2017 for Ethereum mining, now faces refinancing risk that could impact other debt-funded GPU buildouts, including AI-focused miners like Core Scientific.