CoreWeave reports its third-quarter earnings after the U.S. market closes tonight, with results due early tomorrow morning Beijing time.
This cloud provider specializes in renting out NVIDIA GPU computing power to AI companies, and its stock has nearly been cut in half over the past month.
It’s not that the business itself is short on demand.
Revenue is still more than doubling, and its backlog of signed orders stretches years into the future.
The market is focused on a different calculation: based on the company’s own guidance, interest expense alone will be more than three times operating profit this quarter.
A slight revenue beat wouldn’t be surprising.
What will determine whether the stock can stop falling is whether margins can keep climbing and borrowing costs can be kept under control. Options markets are also pricing in a much bigger-than-usual swing, so a sharp move in either direction after earnings wouldn’t be unexpected.
It’s also a bellwether for the AI computing supply chain, and its results are likely to affect sentiment toward chip stocks like NVIDIA.
Which do you trust more: that the orders will turn into revenue, or how the interest bill adds up?
$CRWV
#美股财报 #AI compute
This cloud provider specializes in renting out NVIDIA GPU computing power to AI companies, and its stock has nearly been cut in half over the past month.
It’s not that the business itself is short on demand.
Revenue is still more than doubling, and its backlog of signed orders stretches years into the future.
The market is focused on a different calculation: based on the company’s own guidance, interest expense alone will be more than three times operating profit this quarter.
A slight revenue beat wouldn’t be surprising.
What will determine whether the stock can stop falling is whether margins can keep climbing and borrowing costs can be kept under control. Options markets are also pricing in a much bigger-than-usual swing, so a sharp move in either direction after earnings wouldn’t be unexpected.
It’s also a bellwether for the AI computing supply chain, and its results are likely to affect sentiment toward chip stocks like NVIDIA.
Which do you trust more: that the orders will turn into revenue, or how the interest bill adds up?
$CRWV
#美股财报 #AI compute
