CoreWeave's Stock Now Spiking After Disastrous IPO

AI hyperscaler CoreWeave's initial public offering was meant to serve as a litmus test for the industry. The firm went public on the stock market last week, becoming the first all-AI startup to have done so. It's hard to read the tea leaves over such a short period, but at first, it looked like the company — and industry, if CoreWeave is a bellwether — was in for rough times ahead. After opening at $39, slightly below its IPO price of $40, shares slid almost ten percent in just its second day of trading on Monday. But on its third day today, the stock seemingly shook off the gloom and spiked over 20 percent before settling around 18 percent by midday. It's a significant change of course, bucking the narrative that the first tech IPO since 2021 was a catastrophe. Still, reality bites. The AI cloud provider was hoping to go public at $47 per share, but downsized the offering over the days leading up to the IPO, raising concerns over a "disastrous" AI bubble. As of midday Tuesday, Co ... Read full article.