CoreWeave shares rose 11% in premarket trading Wednesday after the company reported third-quarter earnings that beat analyst expectations and raised its full-year outlook.
Revenue jumped 168% to $3.7 billion in the three months ending September 30. CEO Michael Intrator called it a "breakout quarter" supported by customer contract financing and approximately $9 billion in customer prepayments and deposits.
CoreWeave now expects $13 billion to $13.3 billion in 2026 revenue and $1.275 billion to $1.375 billion in adjusted operating income. Visible Alpha analysts had forecast $1.07 billion in adjusted operating income, and LSEG analysts had expected $12.86 billion in revenue.
The results ease investor concerns about the company's financing stability. CoreWeave's credit default swap spreads, which widened past 11% this month as investors worried about sustainability of the AI trade, had signaled distress. Zacks Chief Equity Strategist John Blank told CNBC that moving away from unsecured bond financing helped allay concerns.
Other neocloud companies also gained in premarket trading: Nebius up 10.2%, Applied Digital up 6.4%, and Iren up 6.3%.