Jensen Huang defends CoreWeave's finances as shares rebound 2.1%
The rebound follows an 8.3% drop that took CoreWeave shares to their lowest level since May 2025.
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Chart: CRWV, daily closes since Apr 2025
Nvidia chief executive Jensen Huang defended CoreWeave's financial health on Thursday, a softer line than his earlier comment the same day ruling out any Nvidia backstop for the company. The defense helped CoreWeave shares rebound 2.1%.
The bounce follows a sharp slide that had sent the stock down 8.3% to $60.36, its lowest level since May 2025. That price remains well below the $97.85 conversion price set on CoreWeave's September convertible notes.
Credit markets are pricing in default risk far beyond what the equity rebound suggests. CoreWeave's five-year credit default swaps hit a record 1,194.5 basis points, and its 2031 bonds fell to 82.75 cents on the dollar.
Huang's comments do not address CoreWeave's roughly $40 billion in debt or the gap between its share price and the conversion price on its convertible notes. The rebound reflects a shift in sentiment rather than any change in the company's leverage or financing terms.