CoreWeave stock drops 32% since joining Nasdaq 100 despite revenue growth

Stock performance since index entry

CoreWeave, an artificial intelligence computing company, has lost approximately 32% of its market value since becoming part of the Nasdaq 100 index. The index entry, which took effect on June 22, 2026, required passive investment funds to purchase the stock, but the share price has continued to decline. The stock traded near $80 on September 17, 2026, down from an opening price of over $119 on the day the indexation became effective.

The company hit an all-time high of $187 on June 20, 2025. Since then, the share price has been in a decline for 15 months. This downward trend has affected common shareholders, while company insiders have been selling shares during this period.

Key financial and sales figures

• CoreWeave reported doubling its revenue in the second quarter of 2026.
• The company claims a revenue backlog of $104 billion, with additional commitments received since July.
• Free cash flow in the second quarter was negative $5.7 billion.
• Total debt exceeds $35.6 billion, up from $7.9 billion at the start of 2025.

Insider stock sales

Executives and board members have sold more than $600 million worth of CoreWeave stock since the company joined the Nasdaq 100. CEO Michael Intrator has liquidated over $320 million of shares. Co-founder Brannin McBee has sold $220 million. Kristen McVeety, the general counsel and corporate secretary, has sold over $22 million. The company's Chief Strategy Officer, Chief Financial Officer, Chief Operating Officer, and Chief Accounting Officer have sold a combined total of $36 million.

Costs and operational challenges

CoreWeave faces significant accounting challenges related to its hardware. In the second quarter alone, depreciation and amortization of AI equipment exceeded $1.3 billion. This amount represents 54% of the company's revenue. Additionally, interest payments on debt reached $640 million in the second quarter, up from $267 million in the same period the previous year. These two costs account for more than three-quarters of the revenue generated in the quarter. The company notes that Nvidia GPUs lose value quickly due to heat and new model releases, which drives the need for high depreciation.

For the full year, CoreWeave expects capital expenditure between $35 billion and $39 billion. This spending plan is significantly higher than its revenue guidance of $12.4 billion to $13.2 billion. This means the company plans to spend roughly three dollars for every one dollar it expects to earn. The buildout of its infrastructure has been financed primarily through borrowed money.

Sources

• Protos

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