CoreWeave (CRWV) Stock Falls Sharply Monday: What Happened?

Shares of AI cloud infrastructure provider CoreWeave Inc CRWV fell 5.39% to $173.68 on Monday, reversing some of last week’s sharp gains. The decline comes amid broad market volatility, driven by escalating tensions in the Middle East that are beginning to rattle global trade and energy flows.

What To Know: The sell-off in CoreWeave likely reflects profit-taking after last week’s rally to a record high of $187. Despite no major company news, CoreWeave surged on continued AI enthusiasm and a strong fundamental backdrop, including a 420% revenue jump and a $25.9 billion backlog.

Still, a recent analyst downgrade from Bank of America citing valuation concerns, added pressure.

Read Also: War, Oil, And S&P 500: Here’s How The Stock Market Behaves In Energy Crises

Market Update: The market has been extremely volatile on Monday as maritime traffic data from key chokepoints such as the Strait of Hormuz and the Suez Canal shows steep declines across crude oil tankers, container ships and bulk carriers, suggesting rising geopolitical risk and potential supply chain disruptions.

Notably, container traffic has plunged over 21% through Hormuz and nearly 31% through Suez, pointing to both rerouting and weakened demand, especially from industrial powerhouses like China.

With Iran’s parliament voting to potentially close the Strait of Hormuz, markets are bracing for further volatility, leaving high-growth names like CoreWeave potentially exposed.

According to data from Benzinga Pro, CRWV has a 52-week high of $187 and a 52-week low of $33.52.

Read Also: War, Oil, And S&P 500: Here’s How The Stock Market Behaves In Energy Crises

By now, you’re likely curious about how to participate in the market for CoreWeave, be it to purchase shares or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

If you’re looking to bet against a company, the process is more complex. You’ll need access to an options trading platform or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option or sell a call option at a strike price above where shares are currently trading — either way, it allows you to profit from the share price decline.

Image: Shutterstock