The AI boom has a debt problem, and investors are not taking it lightly. CoreWeave (CRWV), one of the most aggressive borrowers in the AI infrastructure race, is now sitting at the center of the storm.
CoreWeave has been a market darling amid the AI infrastructure boom. To meet soaring demand for high-performance computing, the company aggressively expanded its infrastructure and took on substantial debt to keep pace. Now, investors are concerned about higher financing costs and whether the company can handle its debt. CRWV stock has dropped about 25% in the last five days and 48% over the past six months.
