After last week’s selloff, this is a tough time to be raising the issue of spending on artificial intelligence. But that’s precisely what CoreWeave Inc.’s quarterly results after the closing bell Monday are about to do.
Shares of the cloud-computing company plunged 22% last week amid a broader unwinding of the AI trade that sent the S&P 500 Index tumbling to its first weekly loss in a month. Now, investors will be closely watching CoreWeave’s results as concerns mount about heavy spending by companies like Meta Platforms Inc. and Microsoft Corp., as well the circularity of many AI deals announced in recent weeks, with OpenAI at the center. Most of CoreWeave’s sales come from Meta, Microsoft and Alphabet Inc.