CoreWeave Stock Plummets 38% Post-Earnings Amid AI Infrastructure Sector Volatility
CoreWeave's stock (CRWV) nosedived 38% following its Q2 earnings release, despite reporting a 207% year-over-year revenue surge and a record $30.1 billion backlog. Investor sentiment turned sour due to ballooning expenses and the expiration of the IPO lock-up period.
ARK Next Generation Internet ETF (ARKW) and YieldMax AI & Tech Portfolio Option Income ETF (GPTY) emerge as potential vehicles for exposure to CRWV. GPTY, with 4.39% allocation to CoreWeave, combines growth tech stocks with options-derived income strategies.
The selloff highlights the market's hypersensitivity to cash burn in high-growth AI infrastructure plays, even as underlying demand metrics remain robust. ETF routes offer investors a tempered approach to capitalizing on the dip.
