CoreWeave, a cloud services provider that recently partnered with OpenAI, made its debut on the Nasdaq stock exchange today (March 28, 2025) under the ticker symbol ‘CRWV.’ The initial public offering (IPO) was priced at $40 per share, with the company selling 37.5 million shares. The pricing resulted in the company raising around $1.5 billion and attaining a valuation of about $23 billion. Debut remained muted though with shares listing at $39 apiece.
Morgan Stanley, J.P. Morgan, and Goldman Sachs served as joint lead bookrunners in this IPO. Meanwhile, CoreWeave’s stock opened at $39 (a roughly 2.5% decrease from the IPO price) and experienced an intraday low of $37.61 amid a broader market sell-off influenced by inflation and tariff concerns.
At CoreWeave, we are redefining cloud infrastructure to power the next wave of AI innovation.
Our 32 data centers with 1.3GW of contracted power and more than 250K GPUs (12/31/2024) are purpose-built for accelerated computing, bridging the gap between AI ambition and execution. pic.twitter.com/QD2xU8S7Uz
— CoreWeave (@CoreWeave) March 28, 2025
Interestingly, the $40 share price is clearly below the initially anticipated range of $47 to $55. Actually, the decision to scale down the IPO – which originally targeted a $32 billion valuation – represents a cautious market environment and concerns over CoreWeave’s financial performance.
Notably, the company reported an eightfold increase in revenue to $1.9 billion last year (2024), largely dependent on Microsoft (accounting for 62% of CoreWeave’s revenue). However, despite recording impressive financial growth, the company also carries significant debt, with $7 billion ($2.5 billion current and $5.5 billion long-term loans) in repayments due over the next two years.
Also, CoreWeave has not yet achieved profitability. The company reported a net loss of $863.4 million in 2024. But in response to these challenges, CoreWeave recently secured some major partnerships, including a recent $11.9 billion deal with the ChatGPT maker. Under this deal, the AI giant will acquire a stake in CoreWeave worth around $350 million.
Additionally, the current landscape presents a favourable environment for CoreWeave, as AI continues to penetrate various sectors, leading surge in the demand for strong AI infrastructure. In fact, several tech giants have announced mega-investments to strengthen US AI infrastructure. For example, SoftBank already announced plans to invest $100 billion in US AI and infrastructure projects over the next four years. Furthermore, the Stargate Project (a joint venture involving OpenAI, SoftBank, Oracle, and MGX) intends to invest up to $500 billion in AI infrastructure in the country by 2029.
Founded in 2017, CoreWeave has evolved as a significant player in the cloud computing industry. The cloud service provider company specialises in GPU-accelerated workloads, offering tailored solutions for compute-intensive applications like artificial intelligence (AI), machine learning (ML), visual effects (VFX) rendering, and batch processing.
The company ended 2024 with 32 data centers and over 250,000 Nvidia GPUs. It plans to open 10 more data centers in 2025. It competes with giants like Amazon Web Services (AWS) and Google Cloud.
