CoreWeave Raises 2026 Revenue Outlook to $13.3 Billion, Shares Jump 13% Before Open
Key Facts
CoreWeave reported on November 10 results for the third quarter ended September 30 and raised its 2026 revenue outlook to a range of $13 billion to $13.3 billion, sending its shares up more than 13% before the November 11 session opened. The new range was above its previous outlook and the analyst consensus of $12.9 billion, according to Investing.com. Quarterly revenue was $3.661 billion, compared with $1.365 billion in the same period of 2025, according to the company’s statement. The chief executive said revenue increased by more than $1 billion quarter over quarter and that adjusted operating margin reached double digits a quarter ahead of plan. The results put growing demand for computing infrastructure at the forefront, as the company continued to post losses and expanded spending plans to fund its growth.
Sales growth did not translate into net profit during the quarter: the company posted a net loss of $709 million, or $1.27 per diluted share, compared with a loss of $110 million, or $0.22 per share, in the third quarter of 2025. The contrast between accelerating revenue and rising losses stands out in the results of a company expanding its infrastructure to serve demand for AI-related computing. Meanwhile, the company’s revenue backlog stood at about $132.5 billion as of September 30. The chief executive said the company expects about $9 billion in customer prepayments and deposits during the three months following the results announcement. Those expected payments point to an operating funding source for capacity expansion, alongside continued heavy capital spending.
CoreWeave raised its 2026 adjusted operating income outlook to a range of $1.275 billion to $1.375 billion, a 26% increase at the midpoint from its previous outlook, according to Investing.com. It also raised the lower end of its annual capital expenditure forecast to $37 billion, while keeping the upper end at $39 billion; the previous range was $35 billion to $39 billion. The company said the higher lower-end estimate is intended to accelerate infrastructure deployment. The plans keep the focus on how quickly the company can add capacity to meet demand, but come in a year when it expects capital spending to approach $39 billion. In its update, the company said it expects active power capacity to exceed 1.85 gigawatts by the end of 2026.
The optimism extended to chipmakers before the open: Nvidia rose 4.9%, Micron 6.5%, AMD 6.4%, Intel 6.2% and Broadcom 4.2%, according to Investing.com. Nasdaq 100 futures rose 1.9% and S&P 500 futures 0.86% at 06:39 a.m. Eastern Time, according to a Reuters report published by Investing.com. The report said customer commitments and strong demand are expected to support CoreWeave’s debt-funded expansion, amid investor concerns about excessive spending on AI. Against that market backdrop, the concerns coincided with worries about a slowdown in data center deployment and higher interest rates, while some investors moved to buy declining stocks. Interest rates remained a headwind after higher-than-expected October inflation data boosted expectations that the Federal Reserve would raise rates in December, Reuters reported.
Despite the rise in chip stocks before the open, Baird on November 11 downgraded Nvidia to “Neutral” from “Outperform” and cut its price target to $200 from $500. The firm cited reduced visibility into data center forecasts for 2027, according to Investing.com. The move highlights differing views on the sector’s outlook: CoreWeave’s higher forecasts lifted its shares and those of chipmakers before the session, while the downgrade reflected caution about how clear future data center demand will be. Eric Schiffer, chairman of Patriarch, said investment in AI infrastructure is likely to continue, potentially supporting share prices over time despite political concerns weighing on valuations. Those concerns remain part of the market’s balance between infrastructure demand and the cost of financing expansion.
On financing, CoreWeave said it raised about $4.2 billion through an expanded offering of convertible senior notes and closed a $2.6 billion financing facility to support shorter-term contracts. Management expects the company to become profitable on an adjusted basis in the first half of 2028, according to Investing.com. In the nearer term, the company expects an annualized revenue run rate of $20 billion to $21 billion exiting 2026, alongside active power capacity exceeding 1.85 gigawatts by year-end. These targets offer a future measure of operating expansion funded through capital spending, financing facilities and customer payments. CoreWeave shares closed at $48.73 on November 10, according to EL7 data.