CoreWeave (NASDAQ: CRWV) chief executive Michael Intrator has written to Texas governor-elect Gina Hinojosa to address Texas data-center concerns over water and power use at the company’s facilities, according to Barron’s.
The letter names six active CoreWeave sites: Austin, Denton, Dickens County, Plano, Richardson and Round Rock, and seeks a long-term partnership with the incoming state administration on development standards.
Letter lands as Texas politics shifts
The approach to Hinojosa is notable because of who she is. Hinojosa, a Democrat, defeated Republican incumbent Greg Abbott in the 2026 Texas gubernatorial election, according to NPR. CoreWeave’s outreach to a newly elected governor from the opposing party in a state that has long courted data-centre investment marks a change in the political backdrop the company must now navigate.
Intrator’s letter, as reported, argues that CoreWeave’s liquid cooling systems keep water use ‘comparable to or lower than’ standard commercial office buildings. The company has not published the letter itself, and the water-use comparison and site list circulated via a single pairing of reports rather than multiple independent outlets.
Shares still well off recent highs
CRWV last traded at $49.99, up 2.26% over 24 hours but down 15.95% over 20 trading days, against a 20-day high of $65.25 and low of $41.26, according to consolidated exchange data. Volume has run at 0.79 times the 20-day average, suggesting the recent move has not been driven by unusually heavy turnover.
FINRA short-sale data show CRWV’s daily short-volume ratio edged up to 0.487 on 9 November from 0.473 on 27 October, with an intermediate spike to 0.508 on 3 November. The shift is modest rather than a sign of a pronounced bearish positioning build.
Losses widen as revenue scales
The financial backdrop explains why Texas site access matters commercially to CoreWeave. Quarterly revenue has risen from $188.68m in the quarter ended March 2024 to $2.575bn in the quarter ended June 2026, according to SEC filings. Net losses have widened alongside that growth: CoreWeave reported a net loss of $740m for the first quarter of 2026, followed by a $626m loss in the second quarter, per its 10-Q filing. Diluted losses per share stood at $1.40 and $1.14 for those two quarters respectively.
That pattern extends back further. CoreWeave posted a net loss of $314.6m in the first quarter of 2025 and $290.5m in the second, narrowing to $110.1m by the third quarter of 2025 before losses widened again in 2026 as capital spending accelerated. Revenue over the same run climbed from $981.6m to $1.36bn across those three quarters, filings show, underlining how fast the company has scaled even as profitability remains elusive.
Two Form 4 filings covering CoreWeave insider transactions were lodged with the SEC on 6 and 9 November, though the filings disclosed no share counts or dollar values that would indicate the scale or direction of the activity.
Macro backdrop stays tight
The letter and the share-price slide both land against a less accommodative rates backdrop. The 10-year US Treasury yield stood at 4.86% on 6 November, up from 4.84% previously, while the 10-year/2-year spread narrowed to 0.32 percentage points by 9 November from 0.35, according to Federal Reserve Bank of St. Louis data. US unemployment eased to 4.1% in October from 4.2%, even as consumer prices continued to rise, with the CPI index reading 336.298 in September against 334.131 the prior month. That combination of resilient employment and persistent inflation has kept rate-cut expectations in check, a dynamic that tends to weigh on capital-intensive, loss-making growth names reliant on continued infrastructure spending.
Investors are now watching whether Hinojosa’s incoming administration responds publicly to Intrator’s letter, and whether CoreWeave discloses further detail on permitting timelines for its Texas sites in future filings.
This article is for information only and is not investment advice or a recommendation to buy or sell any asset. Markets move quickly; figures are correct as sourced at the time of writing. Always do your own research before making financial decisions.
