CoreWeave's $33.21 Billion Trading Day Despite 54.66% Volume Drop

On June 6, 2025, CoreWeave (CRWV) experienced a significant trading volume of $33.21 billion, marking a 54.66% decrease from the previous day. Despite this, the stock price rose by 3.78%.

CoreWeave has secured two strategic 15-year agreements with Applied Digital, positioning the company for long-term growth. This move has been instrumental in driving investor confidence and contributing to a positive market sentiment.

CoreWeave's financial performance in the first quarter was impressive, with revenue surging by 420% to $981 million. The company's adjusted operating income also saw a substantial increase of 550% to $162 million. However, CoreWeave reported a non-GAAP net loss of $150 million due to interest payments on debt. The company's borrowing strategy involves taking on debt only when customer contracts necessitate additional AI infrastructure, ensuring that the debt is covered by the contract's revenue.

CoreWeave's customer list includes prominent names such as IBM, Meta Platforms, Microsoft, and Nvidia. Since its initial public offering, the company has secured new contracts with OpenAI and an unnamed hyperscaler, resulting in a revenue backlog of nearly $26 billion. This strong customer base and robust contract pipeline underscore CoreWeave's leadership in AI infrastructure services.

CoreWeave's stock is currently trading at 26 times sales, which, while expensive, is justified by its triple-digit revenue growth and a gross margin of 73%. The company's ability to deploy the latest Nvidia technologies and achieve record-breaking results in AI benchmarks further solidifies its competitive edge in the market.