CoreWeave has been battered over concerns about its massive debt, but Blackstone chief operating officer Jon Gray believes the so-called neocloud company will weather the storm.

Right now, CoreWeave and its neocloud peers are facing challenges over the capital needed to deliver on their promises, he said in an interview with CNBC's "Squawk Box" Thursday.

"Some of these companies have very talented CEOs. CoreWeave is a good example of this," Gray said. "They'll find a way through it, but that's the challenge they face. The underlying business is actually quite strong."

CoreWeave has seen its stock sink, bond yields rise and spreads on its credit default swaps widen over the past week as investors became nervous about how the company will continue to finance its data centers, and at what cost. The company has roughly $51.6 billion in total debt, including about $35 billion in notes, bonds and loans.

Demand for computing power, however, is strong, said Gray. He is seeing that across the board in the private companies the firm holds. At the same time, there is a constraint in delivering supply, he said.

"For the neo clouds, if they can get to the other side, the pricing of compute is up 50%," he said. "Their legacy chips are worth much more than people thought. Their data centers are leased below market."

Shares of CoreWeave sank 3.55% on Thursday, and are down 14% over the past week.

Blackstone earnings

Gray spoke with CNBC after Blackstone reported its third-quarter results, which came in mixed. Its stock was up 4% on Thursday.

Blackstone saw quarterly revenue of $3.22 billion, short of the $3.28 billion expected from analysts polled by LSEG. Its adjusted earnings of $1.32 per share, however, topped the $1.26 consensus estimate.

It was a "challenging quarter with markets" thanks to high energy prices and the rise in Treasury yields, Gray said. However, the firm delivered for its clients, he noted.

"Across the board, our flagship strategies beat comparable public market indices and that's what we care most about," he said.

He anticipates a strong fourth quarter and 2027, despite some cross-currents like the rising cost of capital, government deficits and some crowding out of capital due to the AI infrastructure build. However, good news is there is underlying economic and earnings strength, he said.

Gray also expects initial public offerings to resume once the market and geopolitical situation calms a bit. He said investors just need to have some patience.

"We have a long-term approach, and we feel very good about where we position capital for our investors, the growth of those companies, the growth of those assets, and that's what gives us confidence," he said.

"At some point, the wider window will open, and when that happens, we and others will sell even more."