When a stock falls more than 40% in just a few months, it’s natural to assume something has gone terribly wrong.

Sometimes that’s true. A collapsing share price can signal slowing demand, deteriorating fundamentals, or a broken business model. But sometimes, the business remains largely intact while investors simply become less optimistic about its future.

That’s exactly the situation investors are trying to figure out with CoreWeave‘s (CRWV +7.16%) stock. After all, many investors are wondering whether they should stay away — and take advantage of the pullback. Or pull back from the stock altogether.

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The business remained intact

If investors only looked at the share price, you might assume CoreWeave had…