{"id":780645,"date":"2026-05-07T23:03:20","date_gmt":"2026-05-07T23:03:20","guid":{"rendered":"https:\/\/www.europesays.com\/us\/780645\/"},"modified":"2026-05-07T23:03:20","modified_gmt":"2026-05-07T23:03:20","slug":"coreweave-signals-higher-capex-as-component-costs-rise-shares-fall","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/780645\/","title":{"rendered":"CoreWeave signals higher capex as component costs rise, shares fall"},"content":{"rendered":"\n<p class=\"yf-1fy9kyt\">By Juby Babu<\/p>\n<p class=\"yf-1fy9kyt\">May 7 (Reuters) &#8211; CoreWeave Inc raised the lower end of its annual capital expenditure forecast on Thursday, citing a rise in the prices \u200cof components, sending the cloud infrastructure technology&#8217;s shares down more than 9% in \u200cextended trading.<\/p>\n<p class=\"yf-1fy9kyt\">Demand for services from the so-called neoclouds, such as CoreWeave and Nebius, has skyrocketed as tech companies \u200bseek the hardware and cloud capacity needed for AI technologies.<\/p>\n<p class=\"yf-1fy9kyt\">CoreWeave lifted the lower end of its 2026 capital expenditure to $31 billion from $30 billion while keeping the upper range unchanged at $35 billion.<\/p>\n<p class=\"yf-1fy9kyt\">Customers are committing to long-term data center investments as technology companies race toward artificial general \u200cintelligence, pushing up demand for advanced \u2060memory and storage and creating a supply crunch that is driving up prices.<\/p>\n<p class=\"yf-1fy9kyt\">Just in the last month, CoreWeave, known for its close relationship \u2060with AI chip bellwether <a href=\"https:\/\/finance.yahoo.com\/quote\/NVDA\/\" data-ylk=\"slk:Nvidia;elm:context_link;itc:0;sec:content-canvas\" data-yga=\"{&quot;yLinkElement&quot;:&quot;context_link&quot;,&quot;yModuleName&quot;:&quot;content-canvas&quot;,&quot;yLinkText&quot;:&quot;Nvidia&quot;}\" class=\"link \" rel=\"nofollow noopener\" target=\"_blank\">Nvidia<\/a>, struck an expanded $21 billion deal for additional cloud computing capacity with Meta, a $6 billion deal with trading firm Jane Street and a third one with Anthropic.<\/p>\n<p class=\"yf-1fy9kyt\">CoreWeave \u200badded \u200bmore than 400 megawatts of contracted power in the \u200bfirst quarter, bringing its total contracted \u200cpower to more than 3.5 gigawatts, CEO Michael Intrator said on a post-earnings call with analysts.<\/p>\n<p class=\"yf-1fy9kyt\">The company reported total revenue of $2.08 billion for the first quarter, compared with analysts&#8217; average estimate of $1.97 billion, according to data compiled by LSEG.<\/p>\n<p class=\"yf-1fy9kyt\">Its operating expenses more than doubled to $2.22 billion in the quarter, a result of continuing to scale active power capacity, finance \u200cchief Nitin Agrawal said on the call.<\/p>\n<p class=\"yf-1fy9kyt\">Andrew Rocco, \u200bstock strategist at Zacks Investment Research, compared CoreWeave&#8217;s strategy \u200bto Amazon&#8217;s early days as an \u200be-commerce pioneer, noting that the company is sacrificing short-term profitability in \u200can attempt to dominate the market.<\/p>\n<p class=\"yf-1fy9kyt\">&#8220;If investors \u200bare willing to stay \u200bthe course, CoreWeave positions itself to be a dominant player in the AI infrastructure industry,&#8221; Rocco added.<\/p>\n<p class=\"yf-1fy9kyt\">For the second quarter, CoreWeave expects revenue in the range of $2.45 \u200bbillion to $2.6 billion, below analysts&#8217; \u200cestimate of $2.69 billion.<\/p>\n<p class=\"yf-1fy9kyt\">The company had a revenue backlog of $99.4 billion as of \u200bMarch 31, compared with $66.8 billion at the end of December.<\/p>\n<p class=\"yf-1fy9kyt\">(Reporting by Juby Babu \u200bin Mexico City; Editing by Sriraj Kalluvila)<\/p>\n","protected":false},"excerpt":{"rendered":"By Juby Babu May 7 (Reuters) &#8211; CoreWeave Inc raised the lower end of its annual capital expenditure&hellip;\n","protected":false},"author":3,"featured_media":780646,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[21],"tags":[691,738,171528,47016,158,67,132,68],"class_list":["post-780645","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-capital-expenditure","tag-cloud-infrastructure","tag-technology","tag-united-states","tag-unitedstates","tag-us"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/116535794469801749","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/780645","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=780645"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/780645\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/780646"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=780645"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=780645"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=780645"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}