US Stock Market Move | Q2 guidance is low, "NVIDIA Corporation's favorite child" CoreWeave (CRWV.US) falls more than 11% in early trading.

On Friday, "NVIDIA Corporation's darling son" CoreWeave (CRWV.US) fell more than 11% in early trading, now trading at $113.57. On the news front, CoreWeave achieved total revenue of $2.08 billion in the first quarter, a year-on-year increase of 112%, higher than the LSEG's consensus expectation of $1.97 billion. This growth not only continued the company's high growth trend since going public, but also made it one of the fastest-growing listed companies in the AI infrastructure race. However, what is more remarkable than revenue is a significant deterioration in profits. In the first quarter of 2022, CoreWeave reported a net loss of $740 million under GAAP, a 135% increase from the $315 million loss in the same period last year, with a net loss margin of 36%. Adjusted net loss was $589 million, and adjusted net loss margin was 28%, both significantly worse than the same period last year. If the pressure on profits is still within expectations, the gloomy guidance for Q2 has completely shattered market fantasies. CoreWeave's revenue guidance for the second quarter is $2.45 billion to $2.6 billion, calculated at the median of $2.53 billion, lower than analysts' consensus expectation of around $2.7 billion. Adjusted operating profit guidance is only $30 million to $90 million, far below the market's expectation of approximately $154 million. What is even more disappointing for investors is that the company has maintained its full-year revenue guidance of $1.2 billion to $1.3 billion unchanged, and did not "raise full-year outlook" as some optimistic analysts had expected.