CoreWeave Overhyped AI Computing Capacity After IPO, Suit Says

CoreWeave Inc. promised more data center capacity for artificial intelligence services than it could deliver, an investor says in a suit over a wild post-IPO ride.

The company’s stock shot up nearly 350% after its March 2025 initial public offering, buoyed by statements about robust demand and an agreement to acquire a leading data center company, Core Scientific Inc., Raymond Masaitis says. He filed his proposed class action Monday in the US District Court for the District of New Jersey.

But a series of developments and disclosures caused CoreWeave’s stock to tumble in late 2025, Masaitis says. On Oct. 30, ...