CoreWeave stock plunges 15% as Musk mocks debt concerns
CoreWeave's stock plunged 15.1% in morning trading after Elon Musk's viral "Yikes" reaction to a post highlighting the company's surging bond yields, intensifying concerns about its debt load. Venture capitalist Chamath Palihapitiya shared data showing CoreWeave's $1.25 billion in unsecured bonds due 2032 hit a record 14.5% yield. Analyst Gil Luria warned the company borrows at 9% while earning only 1% on investments, potentially driving shares to zero if the AI boom collapses. CoreWeave has raised over $35 billion this year, with total debt and lease obligations reaching $52 billion by end of June. The broader tech selloff, including Oracle and Nebius declines, compounded the pressure, pushing shares to $65.55—near their 52-week low.