CoreWeave Stock Dives. Nvidia's Huang Issue Spells Trouble for Other AI Plays.

Yahoo Finance Singapore reported that CoreWeave slid 15% as the Nvidia leadership shock hit the AI infrastructure trade. TradingView reported that US neocloud stocks crashed up to 16%, with Nebius leading losses. Kitco reported that TSX futures inched down as Nvidia turmoil dented AI sentiment, while oil and gold declined. Newsquawk described the US equity open as tech lagging with NVDA after Huang's departure.

The shock extended to AI data center names. 24/7 Wall St. reported that Applied Digital sank 8% as Nebius's $40 billion-plus 2027 spending plan and Huang's Nvidia exit rattled AI infrastructure investors. Applied Digital stock traded at $16.45 on Thursday morning, down 8%, giving back its 7% gain from November 11 when it closed at $17.91. Cipher Digital fell 4% to $6.80, Core Scientific slid 5% to $13.88, and TeraWulf dropped 3% to $12.90.

Nebius reported its Q3 2026 results on November 12 and issued a weak outlook, expecting 2027 capital expenditures of $40 billion to $45 billion. That spending load raised questions about how quickly AI cloud providers can keep leasing the kind of capacity Applied Digital builds. Morgan Stanley analyst Stephen Byrd kept an Equal Weight rating on Applied Digital on November 9 but cut his price target to $25 from $41, raising discount rates and debt costs across the AI data center group.

Applied Digital's interest cost, including capitalized interest, was $113.1 million in the quarter ended August 31, well above its $65.8 million of base rent. CEO Wes Cummins stated on November 2 that Applied Digital still needs funding for roughly 800 MW over the next 12 months. The company's Louisiana campus could back up to $4.6 billion of local revenue bonds, though no rate has been set. CoreWeave is among Applied Digital's tenants. Management's view is that demand remains "extremely robust" and $36 billion of contracted revenue supports optimism, while bears point to Applied Digital's $6.4 billion of debt and its reliance on CoreWeave. Applied Digital's Q2 FY2027 report is expected in January 2027 and could bring the next funding update.