TLDR
- CoreWeave (CRWV) stock dropped 8-9% in after-hours trading following Q4 2025 earnings release
- Q4 revenue hit $1.57B, representing 110% year-over-year growth and exceeding estimates, but per-share losses of $0.89 were nearly double the $0.49 consensus
- Q1 2026 revenue projection of $1.9B-$2.0B significantly underperformed the Street’s $2.29B expectation
- Full-year 2026 revenue forecast of $12B-$13B met analyst predictions; capital expenditure plans range from $30B-$35B
- Revenue backlog under contract grew to $66.8B; combined debt and lease obligations total roughly $30B
CoreWeave shares experienced a sharp 8-9% decline in extended trading hours Thursday after the AI cloud infrastructure provider reported fourth-quarter results that showcased strong revenue growth but disappointing near-term guidance.
CoreWeave, Inc. Class A Common Stock, CRWV
The company, which focuses on specialized cloud computing for artificial intelligence applications, posted Q4 revenue of $1.57 billion, comfortably exceeding analyst expectations of $1.55 billion. This marked an impressive 110% increase from the corresponding quarter in the previous year.
That’s where the good news ends.
The company’s loss per share came in at $0.89, substantially worse than the consensus estimate of $0.49. This nearly doubled loss caught investors off guard and raised concerns about profitability.
Adjusted EBITDA totaled $898 million, missing the StreetAccount consensus of $929 million.
The real driver behind the share price decline, though, was the company’s forward-looking guidance.
CoreWeave provided first quarter 2026 revenue guidance of $1.9 billion to $2.0 billion. Wall Street had been expecting $2.29 billion. At the midpoint, this represents a miss of approximately $290 million—a significant gap by any measure.
Annual Projections and Infrastructure Investment
For the full fiscal year 2026, CoreWeave projected revenue in the range of $12 billion to $13 billion, essentially in line with the analyst consensus of $12.09 billion.
The company’s capital expenditure plans, however, tell a different story. CoreWeave expects to spend $30 billion to $35 billion on capital projects in 2026, dramatically higher than the $10.31 billion spent in 2025. This aggressive spending reflects rapid infrastructure expansion plans.
CEO Mike Intrator defended the rapid expansion approach as strategic. “Our clients are desperate to get access to more infrastructure faster,” he told CNBC, acknowledging his acceptance of short-term margin compression.
CoreWeave finished 2025 with 850 megawatts of power capacity online and 3.1 gigawatts locked in under contracts. Management projects exceeding 1.7 gigawatts of live capacity by the close of 2026, above the analyst consensus of 1.59 gigawatts.
The company’s contracted revenue backlog climbed to $66.8 billion from $55.6 billion at the end of Q3. Average contract length increased to five years from four years at 2024’s conclusion.
As of December 31, CoreWeave held $21.37 billion in outstanding debt. When factoring in lease obligations, total borrowing commitments reach approximately $30 billion—creating substantial interest expense burdens that weigh on bottom-line results.
GPU Market Dynamics Remain Constrained
Nvidia GPU supply continues facing limitations, Intrator confirmed on the earnings call. H100 chip pricing during Q4 stayed within 10% of levels seen at the start of the year. Notably, older-generation A100 processors actually experienced price increases throughout 2025.
Intrator highlighted demand broadening beyond hyperscaler cloud companies and large language model creators, now including enterprise customers and government entities.
During the fourth quarter, CoreWeave announced a collaboration with AI startup Poolside, launched an object storage service, and increased its credit facility to $2.5 billion from $1.5 billion.
Despite the after-hours selloff, CRWV stock remained up 36% year-to-date as of Thursday’s closing bell.
Wall Street maintains a Moderate Buy consensus rating on the stock, with nine Buy ratings and eight Hold ratings. The average analyst price target sits at $118.57.
