CoreWeave shares drop 12% on AI cloud financing worries

CoreWeave's stock fell nearly 12% on Friday, extending a recent sharp decline driven by investor fears over its ability to finance costly AI infrastructure expansion amid rising interest rates and tighter credit conditions. The AI-focused cloud company faces deepening concerns that higher borrowing costs will strain its capital-intensive growth model, with rising credit spreads adding to worries about its financial flexibility. The renewed selloff continues a volatile period for CoreWeave, whose heavy debt reliance makes it particularly sensitive to shifts in financing markets as it scales its data center operations.