CoreWeave (CRWV) Stock Drops 5% After Q2 Guidance Falls Short

TLDR

• CoreWeave Q1 revenue hit $2.08 billion, up 112% year-over-year, beating estimates of $1.97 billion
• Q2 revenue guidance of $2.45B–$2.60B came in below Wall Street’s $2.69 billion consensus
• Net loss widened to $740 million from $315 million a year ago
• Revenue backlog hit nearly $100 billion, up $33 billion in just three months
• Stock was down over 5% in premarket trading Friday

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CoreWeave posted another quarter of triple-digit revenue growth, but it wasn’t enough to keep investors happy. The stock dropped over 5% in premarket trading Friday after the company’s Q2 outlook fell short of what Wall Street was looking for.

CoreWeave, Inc. Class A Common Stock, CRWV

Q1 revenue came in at $2.08 billion, up 112% year-over-year and ahead of the $1.97 billion estimate. But the beat on the top line was overshadowed by a weaker-than-expected profit figure and a Q2 revenue forecast that missed consensus.

The company guided Q2 revenue between $2.45 billion and $2.60 billion. Analysts had pencilled in $2.69 billion. That gap was enough to send the stock lower when the guidance dropped during the earnings call Thursday afternoon.

Net loss for the quarter widened to $740 million, up from $315 million in the same period last year. Interest expense alone hit $536 million — that’s 26% of quarterly revenue.

Loss per share came in at $1.40. While that’s slightly better than the $1.49 reported a year ago, it missed the analyst estimate of $0.91.

Spending Keeps Climbing

Capital expenditure guidance for the full year was raised by roughly $500 million at the midpoint, now sitting at $31 billion to $35 billion. Management cited component pricing pressure as the reason. Nearly $7 billion was spent in Q1 alone, with another $7 billion to $9 billion guided for Q2.

The company ended Q1 with $25 billion in debt and $10 billion in lease liabilities. It has also committed to $38.5 billion in future leases. So far in 2026, CoreWeave has raised over $21 billion through equity sales, borrowing facilities, and debt issuances.

The largest of its new loans carries a floating rate of around 6%, which is an improvement. The weighted average interest rate has dropped 0.8 percentage points this year after falling three points in 2025.

Backlog Keeps Growing

One number that stood out: the revenue backlog is approaching $100 billion, up $33 billion in just three months. CEO Michael Intrator called it the strongest bookings quarter in the company’s history.

Microsoft remains the dominant customer, accounting for roughly two-thirds of 2025 revenue. But deals with Meta Platforms and OpenAI are ramping up, which should broaden the revenue base going forward.

Jefferies analysts flagged the back-half profit ramp as something to watch — just $81 million in adjusted operating profit is expected in the first half, against $919 million in the second. That’s a steep climb that management will need to deliver on.

The company also surpassed 1 gigawatt of active power capacity and is targeting more than 8 GW by 2030.

Full-year revenue and profit guidance was left unchanged, with only the capex range adjusted. Annual revenue is expected to reach $12.5 billion this year, according to Wall Street estimates.

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