CoreWeave halved since joining Nasdaq 100 as insiders sold $740 million

• CFO Nitin Agrawal sold at about $80 a share on Monday.
• CRO Jonathan Jones sold at about $77 on Tuesday, while the company’s cost to borrow skyrocketed to 15% annually on its 2032 bonds and shares plunged 15% one day later.
• General counsel Kristen McVeety sold 97,500 shares near $94 on September 8, taking in $9 million.
• Co-founder Brannin McBee sold 250,000 shares at about $106 on August 17, raising $27 million for himself.

This week, McBee told the Financial Times that CoreWeave is looking to borrow even more money.

CEO sells cheaper and cheaper CoreWeave stock

Although the CEO has sold a regular, weekly block of about 307,700 shares, the value of his sales has been collapsing alongside CoreWeave’s stock price.

• On May 5, that block fetched $39 million at about $128 per share.
• On September 8, it raised $31 million near $100 per share.
• On September 22, it yielded $27 million near $87 per share.
• At Thursday’s price near $60, his block would bring in less than $19 million.

All told, officers and directors have sold about $740 million of CoreWeave stock since the company joined the normally prestigious Nasdaq 100 index on June 22.

Shares opened that day near $119 yet opened for trading today below $62. Lenders to the company are pricing distress.

CoreWeave’s cost to borrow on 2031 maturity bonds soared above 16% — nearing credit card interest rates.

Credit default swaps on CoreWeave implied roughly a 63% chance of default within five years.

At the end of June, the company owed roughly $52 billion in combined debt and lease obligations.