Key Points
- Director Steven Vassallo sold 50,000 Cerebras shares at an average price of $218.18, generating approximately $10.9 million and reducing his ownership by 50.2% to 49,599 shares.
- Cerebras reported strong revenue growth of 74.3% year over year to $209.9 million, but its $2.98 quarterly loss per share significantly missed the expected $0.21 loss.
- Analysts remain broadly positive, with a consensus “Moderate Buy” rating and a $299.90 price target, while investor interest is also being driven by potential OpenAI expansion and the company’s AI-inference technology.
Cerebras Systems Inc. (NASDAQ:CBRS - Get Free Report) Director Steven Vassallo sold 50,000 shares of the company's stock in a transaction dated Friday, August 14th. The shares were sold at an average price of $218.18, for a total transaction of $10,909,000.00. Following the transaction, the director owned 49,599 shares in the company, valued at $10,821,509.82. The trade was a 50.20% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink.
Cerebras Systems Stock Performance
Cerebras Systems stock opened at $220.01 on Wednesday. Cerebras Systems Inc. has a 1-year low of $160.81 and a 1-year high of $386.34. The stock has a 50-day moving average price of $209.37.
Cerebras Systems (NASDAQ:CBRS - Get Free Report) last announced its earnings results on Wednesday, August 12th. The company reported ($2.98) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.21) by ($2.77). The business had revenue of $209.87 million during the quarter. The business's revenue was up 74.3% on a year-over-year basis. Sell-side analysts expect that Cerebras Systems Inc. will post -0.52 EPS for the current fiscal year.
Institutional Trading of Cerebras Systems
A number of large investors have recently modified their holdings of CBRS. Bank of New York Mellon Corp bought a new position in Cerebras Systems in the second quarter worth approximately $6,118,000. Ratan Capital Management LP bought a new stake in Cerebras Systems during the 2nd quarter valued at $4,641,000. Finally, Tiger Pacific Capital LP bought a new stake in Cerebras Systems during the 2nd quarter valued at $221,000.
Wall Street Analyst Weigh In
Several equities analysts have commented on CBRS shares. Barclays assumed coverage on Cerebras Systems in a research report on Monday, June 8th. They issued an "overweight" rating and a $280.00 price objective on the stock. Wall Street Zen upgraded Cerebras Systems from a "sell" rating to a "hold" rating in a research report on Saturday. Mizuho cut their price target on shares of Cerebras Systems from $310.00 to $300.00 and set an "outperform" rating on the stock in a report on Thursday, August 13th. Wedbush upped their price target on shares of Cerebras Systems from $280.00 to $290.00 and gave the stock an "outperform" rating in a report on Thursday, August 13th. Finally, Freedom Capital raised shares of Cerebras Systems to a "hold" rating in a research note on Monday, June 29th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $299.90.
Read Our Latest Analysis on CBRS
Cerebras Systems News Summary
Here are the key news stories impacting Cerebras Systems this week:
- Positive Sentiment: Optimism surrounding a potential expansion of Cerebras’ relationship with OpenAI supported the stock earlier in the week. Wedbush reportedly sees progress toward a much larger arrangement, potentially valued at up to $20 billion, tied to ultrafast inference for OpenAI’s GPT-5.6 Sol model. CBRS Stock Pops 15% As Wedbush Flags Progression In OpenAI Deal
- Positive Sentiment: Cerebras highlighted technology capable of delivering inference speeds as much as 14 times faster than conventional systems. Its wafer-scale architecture, OpenAI deployment, and planned partnerships with AMD and Amazon Web Services reinforce the company’s positioning in the rapidly expanding AI-inference market. Cerebras Systems Powers 14x Faster Ultrafast AI Inference
- Positive Sentiment: Underlying operating trends remain favorable: quarterly revenue increased 74.3% year over year to approximately $209.9 million, while AI cloud-services growth was particularly strong. Management has raised its full-year core revenue outlook to $880 million-$890 million, and the company reports a substantial contracted backlog.
- Neutral Sentiment: Investors were awaiting Cerebras’ SUPERNOVA product event, scheduled for Tuesday evening. The event could provide catalysts through new product, performance, or customer announcements, but the uncertainty encouraged some traders to reduce exposure ahead of the presentation. Cerebras, Intel, and AMD Shares Fall Ahead of Supernova Event
- Negative Sentiment: Director Steven Vassallo sold 50,000 CBRS shares for approximately $10.9 million, reducing his reported ownership by 50.2%. Although the filing does not establish the reason for the transaction, sizable insider selling can weigh on sentiment, particularly after recent volatility. SEC Form 4 Insider Sale
- Negative Sentiment: The company’s latest earnings report showed a significant adjusted EPS miss, with a reported loss of $2.98 per share versus a consensus loss of $0.21. The sharp loss, along with valuation concerns following recent rallies, leaves CBRS vulnerable to profit-taking despite strong revenue growth.
About Cerebras Systems
(
Get Free Report)
Cerebras Systems is a technology company focused on building artificial intelligence infrastructure, including hardware and software designed to accelerate deep learning and large-scale AI workloads. The company is best known for its wafer-scale processor architecture, which is intended to provide high-performance compute for training and inference applications.
In addition to its AI chips, Cerebras offers systems and related software tools that support researchers and enterprises working with machine learning models.
Read More
This instant news alert was generated by narrative science technology and financial data from InsiderTrades.com in order to provide readers with the fastest and most accurate reporting. Please send any questions or comments about this story to [email protected].
