CoreWeave Data Center Delays Trigger Stock Plunge Amid AI Infrastructure Concerns

This analysis is based on the CNBC report [1] published on November 11, 2025, which covered CoreWeave’s CEO addressing data center construction delays during the company’s Q3 2025 earnings announcement.

The data center delay announcement created an immediate market shock, with CoreWeave shares plunging 16% on November 11, 2025, from $105.61 to $88.39, while Core Scientific (CORZ) fell 10% from $19.29 to $17.32 [0][1]. Both stocks continued declining into November 12, with CoreWeave reaching $87.08 and Core Scientific dropping to $16.13 [0].

Despite reporting strong Q3 2025 revenue of $1.36 billion (up 134% year-over-year), the operational challenges overshadowed positive financial performance [1][3]. CoreWeave management lowered 2025 revenue guidance to $5.05-$5.15 billion, down from previous forecasts of up to $5.35 billion, and reduced capital expenditure outlook to $12-$14 billion from $20-$23 billion [2][3].

The delays specifically affect “a singular data center provider” with facilities identified in Texas, Oklahoma, and North Carolina, all connected to Core Scientific [1]. Management expects the “overwhelming majority” of delays to be resolved by Q1 2026 [3].

: The incident follows CoreWeave’s failed $9 billion acquisition attempt of Core Scientific earlier in 2025, which was rejected by Core Scientific shareholders [1]. This failed deal creates additional complexity in their current business relationship and raises questions about long-term partnership stability.

: CoreWeave’s stock had surged over 170% in 2025 prior to this event, raising questions about valuation sustainability and reflecting growing investor nervousness about AI infrastructure valuations and potential market bubble concerns [3].

: The situation highlights a critical tension between aggressive growth timelines and practical execution capabilities in the AI infrastructure sector. CoreWeave’s debt-heavy financing strategy, with substantial capital expenditures remaining even after reduction ($12-$14 billion), amplifies this concern [2].

• Execution Risk
  : Data center construction delays may significantly impact CoreWeave’s ability to meet growing AI infrastructure demand [1][2][3]
• Customer Concentration
  : Delays affecting major customers like OpenAI and Meta could have outsized impact on revenue recognition [3]
• Market Sentiment
  : The Technology sector underperformed (declining 0.99729% on November 12) [0], reflecting broader concerns about AI infrastructure companies

• Debt Financing
  : CoreWeave’s aggressive growth strategy relies heavily on debt financing, creating financial vulnerability if delays persist [2]
• Competitive Pressure
  : Additional delays could cede market share to competitors in the rapidly expanding AI infrastructure market
• Contract Uncertainty
  : While CoreWeave confirmed the contract value remains intact, the specific customer impact remains undisclosed [1][3]

1. Q1 2026 Resolution Timeline
   : Management’s timeline for resolving delays should be closely tracked [3]
2. Customer Disclosures
   : Any announcements from affected customers about alternative arrangements
3. Supply Chain Updates
   : Information about third-party contractor performance and systemic issues in data center construction

• Stock Performance
  : CoreWeave down 16% to $88.39, Core Scientific down 10% to $17.32 on November 11 [0][1]
• Financial Impact
  : Revenue guidance reduced to $5.05-$5.15 billion, capex lowered to $12-$14 billion [2][3]
• Operational Status
  : 41 data centers affected, delays concentrated in Texas, Oklahoma, and North Carolina facilities [1][3]
• Resolution Timeline
  : Management expects majority of delays resolved by Q1 2026 [3]
• Historical Context
  : Follows failed $9 billion Core Scientific acquisition attempt [1]
• Market Context
  : Reflects broader AI infrastructure valuation concerns and Technology sector weakness [0][3]