CoreWeave shares jump 13% as Q3 revenue rises 168% to $3.7 billion, company raises 2026 outlook

CoreWeave shares jumped 13% in premarket trading on Wednesday after the artificial intelligence (AI) cloud computing company reported better-than-expected third-quarter results and raised its financial outlook for 2026. The strong results helped ease some investor concerns about the company's growth and funding.

CoreWeave CEO Michael Intrator described the three months ended September 30 as a "breakout quarter" for the company. He said the strong growth was supported by several sources of funding, according to CNBC. These funding sources included financing backed by customer contracts, along with around $9 billion in customer prepayments and deposits.

This means customers have paid money to the company in advance, helping support its business expansion. CoreWeave also raised its financial outlook for 2026, expecting adjusted operating income of between $1.275 billion and $1.375 billion.

It expects its total revenue for the year to reach between $13 billion and $13.3 billion. The company's revenue outlook is higher than analysts' expectations. Analysts surveyed by Visible Alpha had expected CoreWeave to report adjusted operating income of $1.07 billion in 2026.

Similarly, analysts polled by LSEG had expected CoreWeave's 2026 revenue to reach $12.86 billion. The company's new revenue forecast of $13 billion to $13.3 billion is above that estimate, according to CNBC. Other AI cloud companies also saw their shares rise in premarket trading on Wednesday.

CoreWeave shares were up 13.2% as of 4:18 a.m. ET. Nebius shares gained 11.4%, while IREN shares rose 7.9%. However, companies in the AI cloud computing business, including CoreWeave, Nebius and IREN, have faced growing investor scrutiny this month.

Investors have been questioning whether the huge spending on artificial intelligence can continue and whether these companies can maintain their growth. CoreWeave had also raised concerns among investors because of its rising credit default swap (CDS) spreads.Its CDS spreads rose above 11%.

This is usually a sign that a company may be facing serious financial problems. A higher CDS spread means investors have to pay more money to protect themselves in case the company fails to repay its debt. Despite these concerns, CoreWeave has taken steps to reduce worries about how it gets money to run its business.

Zacks Chief Equity Strategist John Blank told CNBC's Squawk Box Europe that the company had reduced funding concerns by moving away from unsecured bonds. Blank said CoreWeave's latest results could mean that its share price has reached its lowest point.

"It might be the bottom for CoreWeave," he said on Wednesday. He also said that CoreWeave's shares had already fallen sharply. This means there could be more chances for the shares to rise than to fall further. "The shares are so beaten up, you have to believe at this point there's more value on the upside than the down," Blank told CNBC.

Durva More is a Senior Content Producer at Hindustan Times, where she covers finance, and global news. She brings experience across digital and television journalism, with a strong focus on breaking news, business reporting, and international affairs.

Before joining Hindustan Times, Durva worked as an International News Writer at The Economic Times, covering a diverse range of subjects including global politics, business, sports, entertainment, and major world events.

She also worked as a Business Reporter with NDTV Profit. A postgraduate diploma holder in Journalism from the Asian College of Journalism, Durva is passionate about field reporting and storytelling. She thrives on the adrenaline of chasing stories, speaking with people from different walks of life, and amplifying voices that deserve to be heard.

Her reporting is driven by curiosity, accuracy, and a commitment to making complex subjects accessible to readers. When she is not chasing stories or covering breaking news, Durva enjoys reading books and painting. She loves exploring new ideas, meeting people, and learning about different perspectives.

For her, both journalism and art are ways to understand the world and tell stories that matter.Read More