CoreWeave vs Nebius: Both Companies Reported Strong Earnings, But Here’s the Stock You Should Buy

CoreWeave and Nebius both reported impressive earnings, with CoreWeave up 19.28% and Nebius soaring 34.14%, making Nebius the stronger stock pick. CoreWeave's revenue jumped 129% to $2.58 billion, while Nebius saw revenue surge 454% to $582.3 million. CoreWeave's adjusted EBITDA widened to a $626 million loss, while Nebius turned profitable with $236.2 million in profit.

CoreWeave's total debt sits at $35.6 billion against $5.5 billion in cash, leading to $640 million in net interest payments. Nebius, on the other hand, carries $8.5 billion in debt against $8 billion in cash, with a lower net interest expense of $119 million. CoreWeave's forward price-to-sales ratio is 3.90, while Nebius trades at a more attractive 14.64 ratio.

Nebius already generates positive adjusted EBITDA and cash flow, while CoreWeave is still bleeding after accounting for interest costs. Nebius holds $8 billion in cash with $8.5 billion in debt, resulting in marginal net debt for a company valued at over $50 billion. CoreWeave, however, has just $5.5 billion in cash against $35.6 billion in debt, leaving it with a worrying net debt position of over $30 billion.

In the past year, Nebius shares climbed 261%, compared to CoreWeave's 9.74% decline. Analysts remain bullish on CoreWeave, but the significant debt burden and slower growth make Nebius the superior investment choice.