Why CoreWeave Stock Is Plunging in After-Hours Trading

MrDecoder · 2026-02-27T05:27:24+00:00

CoreWeave's Q4 2025 results showed revenue exceeding expectations at $1.57 billion, but a larger-than-expected net loss led to a 7.9% drop in stock price. Investors are more concerned with profitability, prompting questions about the stock's attractiveness.

MrDecoder

2026-02-27 05:27:24

Abstract generation in progress

After dipping 0.4% during regular trading hours today, CoreWeave (CRWV 0.27%) stock is heading sharply lower during after-hours trading. The company reported fourth-quarter 2025 financial results, and while the company exceeded expectations on the top-line, the results weren’t strong enough to outshine the blemishes investors found in the earnings report.

As of 5:02 p.m. ET, shares of the cloud provider are down 7.9% from closing at $97.63 at the end of regular trading hours today.

Image source: Getty Images.

Forget revenue growth; investors are more concerned with profitability

Beating analysts’ expectations that it would post sales of $1.53 billion, CoreWeave reported Q4 2025 sales of $1.57 billion. The top-line beat wasn’t enough to placate investors, who had lofty ambitions for the company, a provider of cloud services catering to artificial intelligence (AI) computing. What investors found at the bottom of the income statement provided even more concern.

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NASDAQ: CRWV

CoreWeave

Today’s Change

(-0.27%) $-0.26

Current Price

$97.75

Key Data Points

Market Cap

$51B

Day’s Range

$95.03 - $100.76

52wk Range

$33.52 - $187.00

Volume

938K

Avg Vol

27M

Gross Margin

49.23%

Instead of meeting analysts’ Q4 2025 diluted earnings per share (EPS) estimate of negative $0.68, CoreWeave booked diluted EPS of negative $0.89. But that wasn’t the only concerning figure regarding CoreWeave’s lagging profitability.

The company’s Q4 2025 net loss of $452 million represented a net loss margin of 29% – notably steeper than the 7% net loss margin that it reported during the same period last year.

Is CoreWeave stock a buy on the pullback?

Unsurprisingly, CoreWeave stock is dipping following the company’s Q4 2025 financial results. The market has lofty expectations for this AI stock, and even strong revenue growth can’t distract investors from the fact that it posted a sharper net loss in Q4 2025 than in the same period in 2024.

While the company’s steep net loss isn’t a red flag, those with lower risk tolerances may want to see it achieve a narrower net loss before considering a position. On the other hand, those less interested in high-risk stocks will find that there are plenty of other AI stocks to consider at the moment.

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