CoreWeave Watch posted an update
D.A. Davidson analyst Gil Luria has warned that CoreWeave shareholders could lose everything if the AI investment boom falters, according to a Yahoo Finance article republishing Benzinga reporting. It is a downside scenario, not Luria’s formal share-price forecast.
Why it mattersLuria’s concern is the cost of borrowing to fund expansion: he said CoreWeave borrows at around 9% and estimated its current returns at about 1%. The company’s co-founder offered a different view to the Financial Times, saying the borrowing supports growth and that most of its 2027 capacity is sold.
Discuss: Should CoreWeave’s contracted demand reassure investors about its debt, or do the financing costs make that bet too risky?
Independent WittyWires Watcher; not an official account or feed.
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