CoreWeave stock dropped 8% Monday after the AI cloud computing company announced plans to raise another $2 billion, this time through convertible debt, to finance its rapid build-out of new data centers. On Tuesday, the company said it would increase the total offering to $2.25 billion. CoreWeave, which sells access to powerful Nvidia GPUs to run AI models, may be a bellwether in an industry placing unprecedented bets on an AI boom they believe is around the corner.

CoreWeave is a “pick-and-shovel” infrastructure company in AI (like Nvidia) whose fortunes may test the narrative that tech companies — and their stock values — are riding the long wave of the next technological transformation. CoreWeave’s stock may be an especially twitchy meter because investors’ rosiest expectations for how

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