CoreWeave’s IPO was marred by weak stock market conditions and the uncertain economic outlook, which forced the company to downsize the size of the public offering to 37.5 million shares from the initially planned 49 million.
Nvidia Corporation (NASDAQ: NVDA), a major player in the AI industry, is facing a significant market challenge following the public debut of cloud computing firm CoreWeave (NASDAQ: CRWV).
On the last trading day of calendar Q1, major indexes were mixed. The Dow, which first tested a 6-month bottom, finished up exactly +1.00%, or +417 points — resulting in a more than 900-point swing.
Nvidia Corporation (NASDAQ: NVDA) dropped 3.66% during the Monday pre-market trading session following CoreWeave's disappointing IPO and uncertainty surrounding President Donald Trump's 'Liberation Day' on April 2.
The lukewarm reception to the CoreWeave IPO, which is the biggest tech offering since 2021, could pour cold water on hopes of a recovery in the IPO market.
Friday’s market plunge capped off a bearish week and likely the worst quarter since 2022. Tariffs are the news headline, and the Magnificent 7 are the biggest drag on the index price declines. Now, add the employment data to the list of concerns.
Shares of Nvidia-backed CoreWeave opened for trading on Friday, raising $1.5 billion and making it the biggest U.S. tech IPO since 2021, even after it was priced below the expected range.
