CoreWeave shares plunged 15% on Wednesday and fell another 6% in pre-market trading on Thursday, extending a difficult week for the AI computing company.
Investors sold the company's corporate bonds due to financial leverage fears, pushing yields higher and prompting a reaction from billionaire Elon Musk.
Research firm Gartner reported that over 80% of neocloud providers could stop operating independently by 2030, adding further pressure to market sentiment.