CoreWeave Stock Fell 11.4% on Friday. The Sell-Off Is About What It's Spending, Not What It's Selling.

CoreWeave's stock dropped 11.4% on Friday despite strong revenue growth of 112% YoY and a $99.4 billion backlog. The sell-off reflects investor concerns about the company's massive capital expenditure plans ($31-35 billion in 2026 vs. $6.2 billion in trailing revenue), rapidly rising debt ($24.9 billion), and surging interest expenses ($650-730 million expected in Q2 2026). Additionally, major customer Meta is building competing cloud capacity, adding competitive pressure.