Coreweave IPO Summary

Coreweave IPO launches this week…Most interesting thing I saw from sell-side related to IPO was New Street saying that cash costs represent ~25% of COGS and 15% of revenue for leading AI cloud platforms, while CoreWeave's costs are 75% higher. The firm criticized CoreWeave's S-1 for placing infrastructure depreciation in OPEX rather than COGS to artificially inflate gross margins to 75%. When properly accounting for depreciation, CoreWeave's true gross margin is only 30%, with depreciation at 45% of revenue versus 41% for leading competitors. New Street concluded this accounting tactic misleadingly portrays CoreWeave as a high-margin business, while their elevated cash costs actually indicate insufficient automation compared to peers.

Below you’ll find the summary from the roadshow call with CEO today…

Coreweave Roadshow Summary: