Deutsche Bank Maintains Buy Rating on CoreWeave Amid Rising Debt Concerns

Deutsche Bank has reaffirmed its buy rating on CoreWeave, an AI cloud infrastructure company, despite the recent turmoil surrounding its stock price and escalating debt concerns. The bank's confidence comes as CoreWeave's shares fell approximately 15% on October 14, 2026, closing at $65.78, primarily due to worries over the company's substantial debt burden.

CoreWeave's total debt is reported to be around $50 billion, with $4.4 billion due by the end of 2026. The company's unsecured notes have seen yields climb toward 15%, raising alarms among investors about its ability to finance ongoing expansion plans. However, Deutsche Bank maintains a price target of $150 for CoreWeave, significantly higher than its current trading price.

CEO Mike Intrator has pushed back against the market's negative sentiment, labeling the selloff as “irrational” and emphasizing the company's robust backlog, which reached $104.2 billion in Q2 2026. This backlog has been bolstered by over $25 billion in new customer commitments in Q3, which Intrator views as crucial for meeting financial obligations.

Despite the positive outlook from Deutsche Bank, CoreWeave's credit risk has hit an all-time high, with the cost of insuring its debt against default soaring. The five-year credit default swaps (CDS) have climbed to 1,194.5 basis points, indicating a market-implied probability of default exceeding 60%. This reflects significant investor skepticism about CoreWeave's financial health, particularly as it seeks to expand its GPU infrastructure.

As CoreWeave navigates these challenges, the market will closely watch its ability to convert its substantial backlog into cash flow and manage its debt obligations effectively.