CoreWeave: ~$129B backlog vs ~$50B debt is ~2.6x coverage, while CDS still prices ~64% 5yr default
CoreWeave's stock fell about 25% this week and some of its bonds now yield near 15%, after June paper priced at 9.675%. CEO Mike Intrator told staff the $104.2B backlog plus $25B+ in new commitments more than covers roughly $50B of debt.
Do the math: that backlog is about 2.6x the debt book. Credit markets still price a roughly 64% five-year default chance via CDS. Contract coverage and default odds are telling different stories.
Sources: Reuters: Intrator memo cites $104.2B backlog plus $25B+ Q3 commitments vs ~$50B debt; bonds near 16% · Reuters: June CoreWeave bonds issued at 9.675% yield; yield near 15% this week · @realMeetKevin: CoreWeave down 23% in 5 days; CDS suggest a 64% chance of default
Not financial advice. For informational and educational purposes only.
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