“US Communications Infrastructure CoreWeave, Inc. Rating Underperform Price Target  Madison Rezaei +1 917 344 8622 madison.rezaei@bernsteinsg.com  Madison Rezaei +1 917 344 8622 madison.rezaei@bernsteinsg.com  Nancy Wu +1 917 344 8545 nancy.wu@bernsteinsg.com  Alexander Feitler +1 917 344 8317 afeitler@autonomous.com CRWV ## 74.00 USD ## Coreweave (CRWV): Debt-maxxing... growth at literally any price? CoreWeave fell roughly 15% Wednesday as investors reconsidered not the demand for its capacity, but the cost of funding it. Its unsecured bond yields have approached 15%—levels typically associated with distress. That does not reset the interest bill on existing fixed-rate debt overnight, but it does raise the question: what will the next dollar of growth cost? This has long been a concern of ours. CoreWeave is a wildly capital-intensive business without a separate cash-generating engine to help foot the bill. The GPUs are spendy, the cash goes out well before the customer payments come in, and rapid growth compounds the funding gap. In Q2, CoreWeave generated \$679M of operating cash flow against \$9.4B of adj. capex. Net interest expense was \$640M—roughly a quarter of revenue. The company remains heavily reliant on external financing to fund its build-out. Several concerns are converging. First, the market is demanding substantially more compensation to own CoreWeave's unsecured credit: its 2032 bond now yields approximately 14.8%, versus a 9.625% coupon. Second, the contracts underpinning future borrowing matter. To the extent growth shifts toward shorter contracts and non-investment-grade customers, lenders have less contractual protection—and will demand more compensation. Finally, the obligations themselves are substantial: at June-end, CoreWeave had approximately \$35B of debt, plus another \$16.5B of lease liabilities. More financing can enable more growth, but it also adds more claims ahead of the equity. We concede that the core funding dependence did not emerge today. There is plenty of momentum and narrative at work. But a near -15% bond yield is a hard number to ignore, and today's report that CoreWeave is courting insurers' capital put the funding question front and center - the search for more, cheaper capital is an increasingly visible part of the investment case. Gartner published a report reiterating many of our longstanding concerns about the neocloud model. Then Elon tweeted "yikes," which rarely improves anyone's afternoon. Today was less about a new operating disclosure than a sharper repricing of an existing financing risk. The backlog can be real and the equity economics can still be fragile. CoreWeave does not just need customers willing to buy the compute. It needs lenders willing to fund the hardware on terms that leave something attractive for shareholders. In our view, the company's long-term business model remains economically challenged; we maintain our Underperform. Adjusted EPS F25A F26E F27E CRWV (USD) (1.20) (4.56) (4.77) Source: Bloomberg, Bernstein estimates and analysis. Financials F25A F26E F27E CAGR Revenues (M) 5,131 12,622 23,552 114.2% EBITDA (M) 2,442 6,826 14,974 147.6% Close Date 14 Oct 2026 CRWV Close Price (USD) 65.78 Price Target (USD) 74.00 Upside/(Downside) 12% 52-Week Range 150.40/60.55 SPX 7,718.94 FYE Dec Div Yield NA Market Cap (USD) (M) 36,762 EV (USD) (M) 82,831 Performance YTD 1M 6M 12M Absolute (%) (8.1) (20.7) (43.9) (50.9) SPX (%) 12.8 1.3 10.8 16.2 Relative (%) (20.9) (22.0) (54.7) (67.1) Source: Bloomberg, Bernstein estimates and analysis. Price Performance, 1YR  Valuation Metrics 25A 26E 27E EV/EBIT (x) N/M 264 33.4 Adjusted P/E (x) (54.9) (14.4) (13.8) EXHIBIT 1: CRWV Debt Overview Debt Description Outstanding1 ($M) Total Capacity Eff. Interest Rate (%) Rate Type Issue Date Maturity Date Int. Exp DDTL 1.0 $1,300 $2,300 15% Variable Jul-23 Mar-28 $195 OEM and Software License Financing $5,102 $5,200 11% Fixed Various $\text{Various}^2$ $544 Magnetar Loan $189 $189 12% Fixed Aug-24 Jan-29 $23 Revolving Credit Facility $1,200 $2,500 7% Variable May-25 Nov-29 $84 2030 Senior Notes $2,000 $2,000 10% Fixed May-25 Jun-30 $200 DDTL 2.0 $3,190 $7,600 11% Variable May-24 Aug-30 $351 DDTL 3.0 $2,215 $2,600 9% Variable Jul-25 Aug-30 $199 DDTL 2.1 $3,000 $3,000 9% Variable Sep-25 Dec-30 $270 2031 9.00% Senior Notes $1,750 $1,750 10% Fixed Apr-26 Feb-31 $175 DDTL 5.5 $1,200 $2,600 9% Variable Aug-26 Sep-31 $108 2031 9.75% Senior Notes $2,750 $2,750 10% Fixed Apr-26 Oct-31 $275 DDTL 5.0 $1,101 $3,100 9% Variable May-26 Nov-31 $99 2031 Convertible Senior Notes $2,588 $2,588 2% Fixed Dec-25 Dec-31 $52 DDTL 4.0 $2,837 $8,500 7% Variable Mar-26 Mar-32 $199 2032 9.625% Senior Notes $1,250 $1,250 10% Fixed Jun-26 Jul-32 $125 2032 EUR Senior Notes $2,279 $2,279 9% Fixed Jun-26 Jul-32 $205 2032 Convertible Senior Notes $4,000 $4,000 2% Fixed Apr-26 Oct-32 $80 2033 Convertible Notes $3,000 $3,000 3% Fixed Sep-26 Apr-33 $79 Total $40,951 $57,206 8.0% $3,262 Source: Company filings, Bernstein analysis CRWV Debt Maturity Schedule (\$M) EXHIBIT 2: CRWV Debt Maturity Schedule  Source: Company filings, Bernstein analysis EXHIBIT 3: CRWV Current DDTL Spreads CRWV Current DDTL Spreads (SOFR + %)  Source: Company filings, Bernstein analysis ## INVESTMENT IMPLICATIONS We are Underperform on CRWV with a price target of \$74. We continue to believe that CRWV will sign more deals. The stock may perform well in the near-term on the momentum of those signings; however, on a long-term, fundamental basis, we have concerns about the business model and CRWV's role in the infrastructure ecosystem. Our case hinges on our longer-term revenue expectations for CRWV, which are significantly lower than street expectations. In general, we question CRWV's ability to continue to sign large-scale hyperscale deals as data center supply becomes more readily available (2028+) and are concerned that hyperscalers are likely to attempt head-on competition with neoclouds for enterprise business. We disagree with CRWV's premise that its existing software moat will hold up to hyperscaler attacks, especially given hyperscalers' scale and ability to spend. We do not believe the structural concerns abate with increased AI demand, though the timing for our call may be pushed further out. ## BERNSTEIN TICKER TABLE 14 Oct 2026 TTM Adjusted EPS EV/EBIT (x) Closing Price Rel. Ticker Rating Cur Price Target Perf. Cur 2025A 2026E 2027E 2025A 2026E 2027E CRWV (CoreWeave) U USD 65.78 74.00 (67.1)% USD (1.20) (4.56) (4.77) N/M 264 33.4 SPX 7,718.94 O - Outperform, M - Market-Perform, U - Underperform, NR - Not Rated, CS - Coverage Suspended Source: Bloomberg, Bernstein estimates and analysis. ## I. REQUIRED DISCLOSURES References to "Bernstein" or the "Firm" in these disclosures relate to the following entities: Bernstein Institutional Services LLC (April 1, 2024 onwards), Sanford C. Bernstein & Co., LLC (pre April 1, 2024), Bernstein Autonomous LLP, BSG France S.A. (April 1, 2024 onwards), Sanford C. Bernstein (Hong Kong) Limited 盛博香港有限公司, Sanford C. Bernstein (Canada) Limited, Sanford C. Bernstein (India) Private Limited (SEBI registration no. INH000006378), Sanford C. Bernstein (Singapore) Private Limited, Sanford C. Bernstein Japan KK (サンフォード・C・バーンスタイン株式会社) and analysts employed by Société Générale Africa Technologies & Services to produce Bernstein research under a Global Services Agreement in place between Bernstein and Société Générale. Bernstein is part of a joint venture between Société Générale (SG) and AllianceBernstein, L.P. (AB). Unless specifically noted otherwise, for purposes of these disclosures, references to Bernstein's “affiliates” relate to both SG and AB and their respective affiliates. ## VALUATION METHODOLOGY ## CoreWeave, Inc. We value CRWV on a forward EV/Adjusted EBIT multiple. Our \$74 price target is based on an Enterprise Value calculated as 25.5x NTM+1 Adj. Operating Income of \$5.2B. ## RISKS CoreWeave, Inc. The main upside risks to our price target/Underperform rating on CRWV are 1) Delays in hyperscaler built capacity coming online may maintain CRWV value proposition, 2) Development of CRWV's specialized software platform which maintains demand for CRWV operated data centers, and 3) Continued shortage in power supply to power data centers may sustain CRWV's pricing power ## RATINGS DEFINITIONS, BENCHMARKS AND DISTRIBUTION ## EQUITY RATINGS DEFINITIONS ## Bernstein brand The Bernstein brand rates stocks based on forecasts of relative performance for the next 12 months versus the S&P 500 for stocks listed on the U.S. and Canadian exchanges, versus the Bloomberg Europe Developed Markets Large and Mid Cap Price Return Index EUR (EDME) for stocks listed on the European exchanges and emerging markets exchanges outside of the Asia Pacific region, versus the Bloomberg Japan Large and Mid Cap Price Return Index USD (JPL) for stocks listed on the Japanese exchanges, and versus the Bloomberg Asia ex-Japan Large and Mid Cap Price Return Index (ASIAX) for stocks listed on the Asian (ex-Japan) exchanges -unless otherwise specified. The Bernstein brand has three categories of ratings: \- Outperform: Stock will outpace the market index by more than 15 pp • Market-Perform: Stock will perform in line with the market index to within +/-15 pp • Underperform: Stock will trail the performance of the market index by more than 15 pp Coverage Suspended: Coverage of a company under the Bernstein research brand has been suspended. Ratings and price targets are suspended temporarily, are no longer current, and should therefore not be relied upon. Not Rated: A rating assigned when the stock cannot be accurately valued, or the performance of the company accurately predicted, at the present time. The covering analyst may continue to publish research reports on the company to update investors on events and developments. Not Covered (NC) denotes companies that are not under coverage. Bernstein brand stock ratings are based on a 12-month time horizon. ## Autonomous brand – common stocks The Autonomous brand rates common stocks as indicated below. As our benchmarks we use the Bloomberg Europe 600 Financials Price Return Index (E600BK) and Bloomberg Europe Dev Mkt Financials Large and Mid Cap Price Ret Index EUR (EDMFI) index for developed European banks and Payments, the Bloomberg Europe 600 Insurance Price Return Index (E600IN) for European insurers, the S&P 500 and S&P Financials for US banks and Payments coverage, S5LIFE for US Insurance, the S&P Insurance Select Industry (SPSIINS) for US Non-Life Insurers coverage, the Bloomberg Emerging Markets Financials Large, Mid and Small Cap Price Return Index (EMLSF) for emerging market banks and insurers and Payments, and the Bloomberg Japan Financials Large & Mid Cap Price Return Index (JPFILM) for Japanese Financials. Ratings are stated relative to the sector (not the market). The Autonomous brand has three categories of common stock ratings: \- Outperform (OP): Stock will outpace the relevant index by more than 10 pp \- Neutral (N): Stock will perform in line with the market index to within +/-10 pp • Underperform (UP): Stock will trail the performance of the relevant index by more than 10 pp Coverage Suspended: Coverage of a company under the Autonomous research brand has been suspended. Ratings and price targets are suspended temporarily, are no longer current, and should therefore not be relied upon. Not Rated: A rating assigned when the stock cannot be accurately valued, or the performance of the company accurately predicted, at the present time. The covering analyst may continue to publish research reports on the company to update investors on events and developments. Those denoted as ‘Feature’ (e.g., Feature Outperform FOP, Feature Under Outperform FUP) are our core ideas. Not Covered (NC) denotes companies that are not under coverage. Autonomous brand common stock ratings are based on a 12-month time horizon. ## Autonomous brand – preferred stocks The Autonomous brand has three categories of preferred stock ratings: \- Outperform (OP): The total return of the preferred instrument is expected to outperform preferred securities of other issuers operating in similar sectors or rating categories over the next six months. \- Neutral (N): The total return of the preferred instrument is expected to perform in line with preferred securities of other issuers operating in similar sectors or rating categories over the next six months. \- Underperform (UP): The total return of the preferred instrument is expected to underperform preferred securities of other issuers operating in similar sectors or rating categories over the next six months. Autonomous preferred stock ratings are based on a 6-month time horizon. ## AUTONOMOUS CREDIT RESEARCH Where this report contains investment recommendations for credit instruments, as defined in article 3(1)(35) of the Market Abuse Regulation, the information below is presented to comply with its disclosure requirements. The report may also include reference(s) to published opinions by other Autonomous or Bernstein analysts covering the equity securities of the issuer(s) referenced herein. Please note an investment recommendation for credit instruments published by the author(s) of this report may differ from the published view of the analyst covering equity securities for the issuer(s) contained in this report and vice versa. ## CREDIT RATINGS DEFINITIONS The Autonomous brand has three categories of credit ratings: \- Credit Outperform (C-OP): The total return of the Reference Credit Instrument is expected to outperform the credit spread of bonds of other issuers operating in similar sectors or rating categories over the next six months. \- Credit Neutral (C-N): The total return of the Reference Credit Instrument is expected to perform in line with the credit spread of bonds of other issuers operating in similar sectors or rating categories over the next six months. \- Credit Underperform (C-UP): The total return of the Reference Credit Instrument is expected to underperform the credit spread of bonds of other issuers operating in similar sectors or rating categories over the next six months. Autonomous credit ratings are based on a 6-month time horizon. A list of all investment recommendations produced by the author(s) of this report alongside credit ratings history are available upon request. It is at the sole discretion of the Firm as to when to initiate, update and cease research coverage. The Firm has established, maintains and relies on information barriers to control the flow of information contained in one or more areas (i.e. the private side) within the Firm, and into other areas, units, groups or affiliates (i.e. public side) of the Firm ## DISTRIBUTION OF EQUITY RATINGS/INVESTMENT BANKING SERVICES Outperform (O); Market-Perform (M); Underperform (U); Coverage Suspended (CS); Not Covered (NC) Equity Rating Market Abuse Regulation (MAR) and FINRA Rating Category Global Rating Distribution Investment Banking Relationships* Outperform BUY 52.3% 14.2% Market-Perform (Bernstein Brand) Neutral (Autonomous Brand) HOLD 35.6% 16.1% Underperform SELL 12.1% 13.6% \* These figures represent the percentage of companies within each equity rating category for which affiliates of Bernstein have provided investment banking services within the previous 12 months. As of September 30, 2026. All figures are updated quarterly. ## PRICE CHARTS / RATINGS AND PRICE TARGET HISTORY CoreWeave, Inc. (CRWV) Rating History for Bernstein as of 10/14/2026  All price target and closing price data in the chart(s) above are denominated in the currency noted in the Ticker Table of this report. ## CONFLICTS OF INTEREST SG and/or its affiliates beneficially own 0.5% or more of [the total issued share capital/any class of common equity securities] with a net [long/short] position of: CoreWeave, Inc.. Bernstein and/or affiliates have received compensation for investment banking services in the past twelve months from CoreWeave, Inc.. An affiliate of Bernstein has received compensation for non-investment banking securities-related products or services in the previous twelve months from the following clients: CoreWeave, Inc.. Bernstein and/or affiliates have received compensation for non-investment banking securities-related products or services in the previous twelve months from the following clients: CoreWeave, Inc.. Bernstein and/or affiliates expect to receive or intend to seek compensation for investment banking services in the next three months from CoreWeave, Inc.. Bernstein and/or affiliates had an investment banking client relationship during the past twelve months with CoreWeave, Inc.. Affiliates of Bernstein managed or co-managed in the past twelve months a public offering of securities of CoreWeave, Inc.. ## OTHER MATTERS The legal entity(ies) employing the analyst(s) listed in this report, and their location, can be determined by the country code of their phone number, as follows: +1 Bernstein Institutional Services LLC; New York, New York, USA +44 Bernstein Autonomous LLP; London UK +212 Société Générale Global Solution Center Morocco, Casablanca, Morocco +33 BSG France S.A.; Paris, France +34 BSG France S.A.; Madrid, Spain +41 Bernstein Autonomous LLP; Geneva, Switzerland +49 BSG France S.A.; Frankfurt, Germany +91 Sanford C. Bernstein (India) Private Limited; Mumbai, India +852 Sanford C. Bernstein (Hong Kong) Limited 盛博香港有限公司; Hong Kong, China +65 Sanford C. Bernstein (Singapore) Private Limited; Singapore +81 Sanford C. Bernstein Japan KK; Tokyo, Japan Where this report has been prepared by research analyst(s) employed by a non-US affiliate, such analyst(s), is/are (unless otherwise expressly noted below) not registered as associated persons of Bernstein Institutional Services LLC or any other SEC-registered broker-dealer and are not licensed or qualified as research analysts with FINRA. Accordingly, such analyst(s) may not be subject to FINRA's restrictions regarding (among other things) communications by research analysts with a subject company, interactions between research analysts and investment banking personnel, participation by research analysts in solicitation and marketing activities relating to investment banking transactions, public appearances by research analysts, and trading securities held by a research analyst account. Where this report has been prepared by research analyst(s) employed by Société Générale Africa Technologies & Services (part of the Société Générale group of companies), it has been prepared on behalf of a Bernstein company under a Global Services Agreement in place between Bernstein and Société Générale. ## CERTIFICATION Each research analyst listed in this report, who is primarily responsible for the preparation of the content of this report, certifies that all of the views expressed in this publication accurately reflect that analyst's personal views about any and all of the subject securities or issuers and that no part of that analyst's compensation was, is, or will be, directly or indirectly, related to the specific recommendations or views in this publication. ## II. ADDITIONAL GLOBAL CONFLICT DISCLOSURES It is at the sole discretion of the Firm as to when to initiate, update and cease research coverage. The Firm has established, maintains and relies on information barriers to control the flow of information contained in one or more area…AI 解读
CoreWeave 2032 bond yield has risen to approximately 14.8% versus a 9.625% coupon, signaling market demands materially higher compensation for unsecured credit risk.；CoreWeave is reportedly courting insurers' capital as a new funding source.