He calls it “irrational selling,” then turns around and cashes out $3.3 billion. Do you still trust this CEO?
Since CoreWeave’s IPO, its three founders have sold a total of $3.3 billion worth of their own stock. CEO Intrator alone has sold nearly $1 billion, cashing out more than $900 million this year. Meanwhile, the stock is down over 60% from last year’s peak and fell another 24% this week. Its 2032 bonds have dropped to 76 cents on the dollar, while CDS prices imply a five-year default probability of over 60%.
Jensen Huang had just declared in Stockholm, “CoreWeave is getting stronger by the day, and its cost of financing is coming down.” Then the filings came along and laid bare what was really going on. Of course, the company says these were prearranged sell plans, part of normal diversification—and the three founders still own 20% of the shares.
A: They talk about buying the dip but are heading for the exits. The founders know the ship is going down. B: It’s just scheduled selling. Huang is right—the panic is overblown. Sound off in the comments.
Since CoreWeave’s IPO, its three founders have sold a total of $3.3 billion worth of their own stock. CEO Intrator alone has sold nearly $1 billion, cashing out more than $900 million this year. Meanwhile, the stock is down over 60% from last year’s peak and fell another 24% this week. Its 2032 bonds have dropped to 76 cents on the dollar, while CDS prices imply a five-year default probability of over 60%.
Jensen Huang had just declared in Stockholm, “CoreWeave is getting stronger by the day, and its cost of financing is coming down.” Then the filings came along and laid bare what was really going on. Of course, the company says these were prearranged sell plans, part of normal diversification—and the three founders still own 20% of the shares.
A: They talk about buying the dip but are heading for the exits. The founders know the ship is going down. B: It’s just scheduled selling. Huang is right—the panic is overblown. Sound off in the comments.