CoreWeave highlights and risks for investors

CoreWeave reports strong quarterly results but faces higher financing costs and a large backlog that has drawn bullish bets.

CoreWeave Stock Faces Mixed Signals as Backlog Growth Attracts Bullish Bets

CoreWeave posted Q2 revenue of $1.21 billion, up 207% year over year and beating expectations by $131.4 million, while GAAP earnings per share missed by $0.11. Interest expenses rose to $267 million in Q2 2025, more than quadrupling from the prior year, raising questions about near term profitability.

The company notes growth may be back-loaded. Its backlog reaches $30.1 billion, including a $4 billion extension with OpenAI, signaling sustained demand. The stock sold off after the earnings release, trimming about a third of its value. A key investor argues the moat is real and the long run could be rewarding. CoreWeave has deployed Nvidia GB200 NVL72 chips at scale and plans GB300, a potential catalyst later this year. Wall Street shows a neutral stance with a consensus Hold.

The real test for CoreWeave is turning backlog into steady profits while financing costs remain high. The moat claim rests on being the only public US company focused on data center buildout and on the advantage from Nvidia chip deployments. The OpenAI contract and the software stack could provide durable demand if the company can scale margins.

Yet investors must weigh near term headwinds. A valuation built on rapid revenue growth may contrast with rising debt service and a back-loaded growth profile. If the company can convert backlog into cash flow, the upside may justify the risk; if not, the stock could stay rangebound until margins improve.

Highlights

Backlog growth and financing strategy will shape CoreWeave next moves