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Investor Alert: Hagens Berman Investigates CoreWeave, Inc.

National shareholder rights law firm Hagens Berman has announced an investigation into CoreWeave, Inc. (NASDAQ: CRWV) for potential securities fraud. This inquiry comes in light of serious allegations that the company misled investors regarding its ability to scale its artificial intelligence (AI) infrastructure and meet ambitious revenue forecasts. The class-action lawsuit, which targets CoreWeave and specific executives, claims that deceptive assurances were given about the firm’s operational health.

Background on CoreWeave

CoreWeave is known for providing cloud infrastructure optimized for high-performance computing. With the increasing demand for AI and related technologies, the company touted its services as being capable of rapid scaling. However, recent reports suggest that this scaling has faced significant setbacks, particularly affecting its critical data center in Denton, Texas.

Alleged Misrepresentations

The investigation centers on claims that CoreWeave dramatically overstated its capacity to meet the burgeoning demand from customers, which was previously described as 'robust.' The lawsuit highlights two main aspects:
1. Concealed Data Center Delays: It is alleged that management concealed significant delays in the construction of its Denton facility. Initially touted as a key growth driver, reports surfaced showing substantial construction hurdles that pushed the completion date back by several months. This contradicted management's public statements that suggested rapid progress.

2. Overstated Revenue Potential: Plaintiffs maintain that CoreWeave's projection of revenue from its backlog was falsely assured, hinging on infrastructure that company leaders were aware would not be completed on time.

The ramifications of these misrepresentations have been severe, with CoreWeave's market value dropping dramatically—around $14 billion was wiped out following updates that lowered guidance and identified the operational delays.

Market Reaction

The fallout was swift as investors reacted to these revelations. On November 11, a 16% decline in stock value was reported after CoreWeave revised its revenue expectations downwards. The situation worsened following the Wall Street Journal's coverage of the construction delays, leading to further declines in share prices and escalating investor losses.

Legal Action and Next Steps

Hagens Berman is committed to advocating for those affected by these claims. Partner Reed Kathrein, who leads the investigation, encourages investors experiencing significant losses to reach out. The firm will be accepting cases from individuals who purchased shares during the class period, which spans from March 28, 2025, to December 15, 2025. The lead plaintiff deadline, which is the last date to formally request to represent the group of investors, is set for March 13, 2026.

If you or anyone you know has incurred losses connected to CoreWeave and are in need of legal guidance, do not hesitate to contact Hagens Berman at the firm’s dedicated number for investors. Additionally, individuals with insights into CoreWeave's internal operations that could impact the investigation are encouraged to consider the Securities and Exchange Commission (SEC) Whistleblower program.

About Hagens Berman

Hagens Berman Sobol Shapiro LLP is a well-respected litigation firm specializing in corporate accountability. The firm has previously gained recognition for successfully prosecuting cases of securities fraud and securing over $2.9 billion in damages for clients. Investors are encouraged to monitor the firm’s updates via their social media channels and official website for further action and news concerning the ongoing situation with CoreWeave.

This investigation highlights the necessity for transparency in corporate governance, especially in sectors critical to technological advancement like AI and cloud computing. As the inquiry unfolds, further developments are expected in holding CoreWeave accountable for its alleged misrepresentation to shareholders.