CoreWeave Bonds Yield Above 15% as AI Selloff Hammers Hedge Funds
CRWV is trading near its 52-week low of $59.51 (2.5% above the low) on elevated volume (2.9× avg).
Summary
CoreWeave's bonds sold off hard this week, pushing yields above 15% — a fresh escalation from the ~10% yield the company had to offer on its $2.6B Anthropic-linked loan in late July. The stock is trading near its 52-week low of $59.51, down from a $150.40 high, as the AI trade unwinds. Goldman's prime brokerage says global long-short funds lost money every day this week (down 2.9% through Oct 15), with AI stocks sold for six straight sessions. The pressure is funding-driven: hotter-than-expected inflation is keeping borrowing costs high, and CoreWeave carries $35.6B in debt against a $626M quarterly net loss. The company just raised $4.2B in convertible notes and launched a 35M-share ATM in September, so its cost of capital is now the key variable. Watch whether the bond yield stabilizes or keeps climbing — that directly affects CoreWeave's ability to finance its $103.7B backlog.
At the time of this announcement, CRWV was trading at $61.00 on NASDAQ in the Technology sector, with a market capitalization of approximately $33.9B. The 52-week trading range was $59.51 to $150.40. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.