Pimco CEO warns of excessive debt risks for AI companies
CRWV CoreWeave Inc
$56.60 -6.86%
View chart & analysis → - 1Pimco CEO Emmanuel Roman warned that AI companies risk borrowing too much money.
- 2The projected debt of AI companies over the next five years is 10 trillion, approaching the 12.1 trillion US corporate bond market size.
- 3Bond investors are showing caution as CoreWeave's corporate bond yield recently hit 15%.
So what's the key point?
There is a warning that artificial intelligence companies may borrow too much money in the future. Experts are concerned that the debt of these companies could grow to a size similar to the US corporate bond market.
Source The Motley Fool +1 · View original ↗
Nothing hidden: past picks and how they did against the S&P 500.