CoreWeave (NASDAQ:CRWV) shares fell in premarket trading on Tuesday after the Nvidia-backed (NASDAQ:NVDA) artificial intelligence cloud infrastructure company warned of a delay at a third-party data center partner, prompting it to trim its full-year revenue forecast.

The company now expects 2025 fiscal revenue to range between $5.05 billion and $5.15 billion, down from its previous projection of $5.15 billion to $5.35 billion, according to CFO Nitin Agrawal. Analysts surveyed by LSEG had expected guidance around $5.29 billion, according to figures cited by Reuters.

“[T]he delta [in the outlook] was driven by a supply constraint that we view as fixable by the first quarter,” analysts at BofA Securities noted. “Importantly, demand remains strong.”

The revised outlook largely overshadowed CoreWeave’s robust third-quarter results, which otherwise highlighted strong AI-driven growth. The company has recently strengthened its presence in the artificial intelligence sector through multibillion-dollar partnerships with major technology firms, including ChatGPT maker OpenAI and Meta Platforms (NASDAQ:META). CoreWeave’s stock has rallied significantly since its public listing earlier this year.

For the quarter ended September 30, the company reported revenue of $1.36 billion, exceeding expectations, fueled by sustained demand for its AI cloud computing services. CoreWeave, which provides access to Nvidia’s GPUs as a cloud-based service, posted a loss per share of $0.22, beating forecasts for a $0.51 loss per share.

However, adjusted operating margins narrowed to 16%, compared with 21% in the prior year. Agrawal said the company plans to increase capital expenditures next year, in line with the broader AI infrastructure trend, estimating spending between $12 billion and $14 billion in 2025.

“AI compute represents a new era of computing which ushers in vast complexities in scaling and reliably hosting this compute, something CoreWeave has been able to do, while incumbents have struggled, and we believe potentially underestimating the long-term opportunity,” analysts at Jefferies wrote in a note.

CoreWeave stock price

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Some portions of this content may have been generated or assisted by artificial intelligence (AI) tools and been reviewed for accuracy and quality by our editorial team.