I should add that the CEO, CDO and COO are all selling shares in coreweave faster than they can sign additional debt obligations, and in size ($51m in the week ending 11 august according to EDGAR)
Nebius director Charles Ryan filed on the 14th August to sell $12.75m worth.
Perhaps the reason is that they just sense that running capex/sales of 250-970% may just not be quite sustainable...
I think you’re leaving out a big part of the CoreWave story, over reliance on debt and insider stock selling. Compare both to NEBIUS and I think you have your answer why CoreWeave stock cannot gain traction and market rewards NEBIUS for its achievements thus far.
The older examples worked because the expensive part was already sunk. Southern Pacific's right of way and Williams' empty pipe were paid for by a business that stopped needing them, so repurposing them cost almost nothing. Neoclouds got in the door the same way on power rights and siting know-how, but the GPUs and the buildings are new debt that only pencils if demand keeps compounding. Different risk shape than the fiber story.
CoreWeave’s dashed extrapolation past quarter 26 is doing a lot of work — the curve implies it catches Azure’s early trajectory, but that’s a projection built on 26 quarters of actuals, not proof of the climb continuing.
That trio of graphs using Ramp data is horrendously bad lol. Do better on your DataViz!
Remind me what became of WorldCom?
(https://en.wikipedia.org/wiki/WorldCom_scandal)
If you like the revenue growth of the Neoclouds, you will LOVE the growth in their liabilities and financial obligations (debt & leases).
Latest quarter growth
Company Sales Total liability Financial obligs
Coreweave +113% +221%. +254%
Nebius. +454%. +1234%. +754%
Iren. +$34m +716% ($4bn). + 1123%
Get stuck in lads
I should add that the CEO, CDO and COO are all selling shares in coreweave faster than they can sign additional debt obligations, and in size ($51m in the week ending 11 august according to EDGAR)
Nebius director Charles Ryan filed on the 14th August to sell $12.75m worth.
Perhaps the reason is that they just sense that running capex/sales of 250-970% may just not be quite sustainable...
100%!
I think you’re leaving out a big part of the CoreWave story, over reliance on debt and insider stock selling. Compare both to NEBIUS and I think you have your answer why CoreWeave stock cannot gain traction and market rewards NEBIUS for its achievements thus far.
The older examples worked because the expensive part was already sunk. Southern Pacific's right of way and Williams' empty pipe were paid for by a business that stopped needing them, so repurposing them cost almost nothing. Neoclouds got in the door the same way on power rights and siting know-how, but the GPUs and the buildings are new debt that only pencils if demand keeps compounding. Different risk shape than the fiber story.
CoreWeave’s dashed extrapolation past quarter 26 is doing a lot of work — the curve implies it catches Azure’s early trajectory, but that’s a projection built on 26 quarters of actuals, not proof of the climb continuing.