CoreWeave (CRWV) Ends Winning Streak Over Uncertainties on Core Scientific Merger

We recently published 10 Stocks Facing a Total Meltdown. CoreWeave, Inc. (NASDAQ:CRWV) is one of the worst-performing stocks on Wednesday.

CoreWeave snapped a four-day winning streak on Wednesday, slashing 20.83 percent to close at $117.76 apiece as investors resorted to profit-taking following the previous days’ surge buoyed by a strong earnings performance, while digesting uncertainties surrounding its planned $9-billion merger with Core Scientific.

In an updated report, CoreWeave, Inc. (NASDAQ:CRWV) grew its revenues by 207 percent to $1.2 billion from only $395 million in the same period last year. This resulted in a 10-percent narrower net loss of $290.5 million as compared with the $323 million in the same period last year.

“Our strong second quarter performance demonstrates continued momentum across every dimension of our business,” said CoreWeave, Inc. (NASDAQ:CRWV) co-founder and Chairman Michael Intrator.

”We are scaling rapidly as we look to meet the unprecedented demand for AI. Our purpose-built AI cloud platform continues to set new benchmarks for performance and scalability, including becoming the first company to offer the complete Blackwell GPU portfolio at scale, making CoreWeave the platform of choice for the world’s most advanced AI workloads and AI pioneers,” he added.

In other developments, a major Core Scientific shareholder expressed opposition against the company’s planned merger with CoreWeave, Inc. (NASDAQ:CRWV), saying that it was disappointed over the “inadequate valuation.”

Two Seas Capital, which owns approximately 6.5 percent of Core Scientific, Inc. (NASDAQ:CORZ) and also a shareholder of CoreWeave, said that the merger “leaves Core Scientific shareholders exposed to the high volatility of CoreWeave’s share price with no protections on the value they will receive at or following close.”

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