Anthropic (ANTH.PVT) shouldn't count on bond king Jeffrey Gundlach buying into its inevitable debt issuances to support its AI future.
"I wouldn't touch it," the outspoken DoubleLine founder said at Yahoo Finance Invest when asked if he would invest in Anthropic bonds. "Anthropic is angling for an investment-grade rating. I think that if they get an investment-grade rating, the rating agency that gives it to them should be investigated because there's no way that they deserve an investment-grade rating."
The lead-up to the hotly anticipated Anthropic IPO has taken a few unwelcome turns for Dario Amodei and Co., prompting some to question whether the market debut will even happen this year.
In an amended S-1 filing, Anthropic said that third quarter sales rose 1,127% to $17 billion. But revenue growth slowed on a quarter-over-quarter basis.
Third quarter sales increased 47% compared with a 144% growth rate in the second quarter. Sales increased 132% in the first quarter.
The company lost a staggering $23.29 billion in the third quarter.
Aside from the disclosure, AI stocks have taken a beating in the wake of Election Day, amid fears that the blue wave will derail America's data center build-outs. Getting AI data centers built is critical to Anthropic's business model.
Investment bankers had been reportedly aiming for an astronomical listing valuation of roughly $1.5 trillion to $2 trillion. That lofty range could be off the table in light of the heightened volatility around tech stocks.
Gundlach added, "The idea of buying Anthropic debt makes me want to break out in hives."
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