CoreWeave jumps 10% as bond filing hints at larger backlog

CoreWeave’s stock climbed about 10% after Cantor Fitzgerald pointed to details in a recent bond-offering memorandum that suggest second-quarter contract growth may exceed expectations. Options volume increased, with traders buying calls ahead of the June 26 expiration.

Cantor Fitzgerald analyst Brett Knoblauch flagged internal metrics in the filing, including a rise in run-rate EBITDA to $18.758 billion from $16.098 billion in an April memorandum. He noted the memorandum covers roughly 80% of the quarter and estimated the company’s backlog could have reached about $125 billion by early June. If contract additions continued at a similar pace, Knoblauch estimated backlog might top $131 billion by June 30.

Those estimates compare with CoreWeave’s reported first-quarter backlog of $99.4 billion and the consensus estimate of $104.4 billion. Knoblauch maintained an Overweight rating and a $167 price target, writing that “equity investors have largely ignored” several internal metrics disclosed in the filing.

Macquarie upgraded CoreWeave to Outperform from Neutral last week and raised its price target to $125 from $90, citing partnerships with large technology firms including Meta Platforms and OpenAI.

The bond-offering memorandum also included financing details. CoreWeave estimated gross debt could reach $68.5 billion and net debt $58.3 billion as the company invests in capacity to meet customer demand and fulfill backlog commitments.

Analysts and investors are watching whether management can convert rising EBITDA into sustainable free cash flow and reduce dependence on external financing.

CoreWeave is scheduled to join the Nasdaq-100 Index as part of the quarterly rebalance effective before the market opens on June 22, alongside Nebius Group, Rocket Lab, Astera Labs and Teradyne.