CoreWeave Stock Drops Despite Record Trading Volume and AI Innovations

CoreWeave (CRWV) shares fell 1.17% on June 18, 2025, with a trading volume of 32.91 billion, ranking 16th in the day's market activity.

CoreWeave, an AI Hyperscaler, has introduced three new AI cloud software products and capabilities. These innovations are designed to help customers develop and deploy AI more efficiently, providing a robust platform for AI labs, engineers, and developers to train models and perform inference at scale.

CoreWeave's strategic partnership with IBM to deliver compute capacity for its Granite AI models further solidifies its position in the AI infrastructure race. The company's first-quarter earnings report showcased impressive revenue growth of 420% year-over-year, reaching $981.6 million, and an adjusted EBITDA of $606.1 million, up 480% annually.

Despite a net loss of $1.49 per share, largely due to stock-based compensation, CoreWeave's strong contract wins, including a $11.9 billion deal with OpenAI, highlight its growing demand and market presence. The company's revenue backlog of $25.9 billion and bold expectations for 2025 revenue between $4.9 billion and $5.1 billion indicate continued growth.

Bank of America recently downgraded CoreWeave from "Buy" to "Neutral" due to valuation concerns, but the stock's performance and strategic partnerships suggest a promising future for long-term investors.