CoreWeave (CRWV.US) shares plunged nearly 15% at one point! Bond yields approaching 15% spark financing concerns; Bernstein warns that the high-debt growth model is unsustainable.

Zhitong Finance APP has learned that shares of AI cloud computing service provider CoreWeave (CRWV.US) plunged nearly 15% at one point on Wednesday, as investor concerns over its high-debt expansion model continued to intensify. Bernstein noted in a research report released on October 15 that the market's concern is not insufficient demand for AI computing power, but rather the financing costs CoreWeave incurs in its continued expansion to meet that demand. As yields on some of the company's unsecured bonds approach 15%, its business model of relying on external financing to drive growth is facing increasingly severe tests.