Key Points
- COO Dhiraj Mallick sold 38,889 Cerebras shares at an average price of $222.22, generating about $8.64 million. The sale covered tax withholding on vested equity awards and reduced his ownership by 24.48% to 120,000 shares.
- Cerebras reported revenue of $209.87 million, up 74.3% year over year, but its $2.98-per-share loss significantly missed the $0.21 consensus estimate, highlighting ongoing profitability risks.
- Despite recent insider selling and the earnings miss, analysts remain broadly positive, with a “Moderate Buy” consensus and an average price target of $299.90; new AI partnerships and the CS-4 accelerator are supporting bullish sentiment.
Cerebras Systems Inc. (NASDAQ:CBRS - Get Free Report) CAO Yagnesh Patel sold 4,574 shares of the stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $222.22, for a total value of $1,016,434.28. Following the completion of the sale, the chief accounting officer owned 16,676 shares in the company, valued at approximately $3,705,740.72. The trade was a 21.52% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards.
Yagnesh Patel also recently made the following trade(s):
- On Thursday, June 25th, Yagnesh Patel sold 6,079 shares of Cerebras Systems stock. The shares were sold at an average price of $171.53, for a total transaction of $1,042,730.87.
- On Friday, June 26th, Yagnesh Patel sold 3,954 shares of Cerebras Systems stock. The shares were sold at an average price of $174.03, for a total transaction of $688,114.62.
- On Thursday, June 25th, Yagnesh Patel sold 46 shares of Cerebras Systems stock. The stock was sold at an average price of $189.36, for a total transaction of $8,710.56.
Cerebras Systems Stock Performance
Shares of NASDAQ:CBRS opened at $209.85 on Friday. Cerebras Systems Inc. has a one year low of $160.81 and a one year high of $386.34. The stock's 50 day moving average is $208.60.
Cerebras Systems (NASDAQ:CBRS - Get Free Report) last released its quarterly earnings data on Wednesday, August 12th. The company reported ($2.98) 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 company's revenue was up 74.3% on a year-over-year basis. Sell-side analysts anticipate that Cerebras Systems Inc. will post -0.52 earnings per share for the current year.
Analyst Ratings Changes
A number of equities research analysts recently commented on CBRS shares. Needham & Company LLC reissued a "buy" rating and set a $300.00 target price on shares of Cerebras Systems in a research report on Wednesday. Craig Hallum assumed coverage on Cerebras Systems in a report on Monday, June 8th. They issued a "buy" rating and a $325.00 price target for the company. Wall Street Zen raised shares of Cerebras Systems from a "sell" rating to a "hold" rating in a research report on Saturday, August 15th. Barclays initiated coverage on shares of Cerebras Systems in a research note on Monday, June 8th. They issued an "overweight" rating and a $280.00 target price for the company. Finally, Zacks Research upgraded shares of Cerebras Systems to a "hold" rating in a research note on Tuesday, June 9th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $299.90.
View Our Latest Report on CBRS
Key Cerebras Systems News
Here are the key news stories impacting Cerebras Systems this week:
- Positive Sentiment: Cerebras and Callosum announced a partnership to deliver ultra-low-latency, heterogeneous AI inference for agentic applications. The agreement could strengthen Cerebras’ position in real-time AI workloads and broaden its commercial reach. Cerebras and Callosum partnership
- Positive Sentiment: Rosenblatt Securities and Needham & Company reiterated “Buy” ratings and assigned $300 price targets, signaling expected upside based on Cerebras’ AI-infrastructure growth prospects. Rosenblatt Buy rating Needham Buy rating
- Positive Sentiment: Options traders purchased 57,909 CBRS call contracts, roughly 42% above typical volume, suggesting increased speculative interest in a potential rebound. CBRS call-option activity
- Neutral Sentiment: Cerebras’ claims that its CS-4 accelerator can deliver up to 30 times faster inference than GPUs may support investor enthusiasm, but the benefit still requires independent validation, customer adoption, and meaningful revenue contribution.
- Negative Sentiment: Several senior executives sold shares on August 18 to cover tax withholding from vested equity awards. CEO Andrew Feldman sold approximately $5.9 million, COO Dhiraj Mallick about $8.6 million, CAO Yagnesh Patel about $1.0 million, and CTO Sean Lie about $4.7 million. Although the stated purpose reduces the bearish significance, the transactions may weigh on sentiment because they reduced insiders’ holdings.
- Negative Sentiment: The company’s latest quarterly loss of $2.98 per share was substantially worse than the expected $0.21 loss. Revenue rose 74.3% year over year to $209.9 million, but the large earnings miss keeps profitability and valuation concerns in focus.
Institutional Investors Weigh In On Cerebras Systems
Large investors have recently bought and sold shares of the company. Tiger Pacific Capital LP acquired a new position in Cerebras Systems in the 2nd quarter worth approximately $221,000. Proficio Capital Partners LLC acquired a new position in Cerebras Systems during the second quarter valued at $1,383,000. Ratan Capital Management LP purchased a new stake in Cerebras Systems in the second quarter valued at $4,641,000. Bank of New York Mellon Corp purchased a new stake in Cerebras Systems in the second quarter valued at $6,118,000. Finally, Montanova Capital LLC acquired a new stake in Cerebras Systems during the 2nd quarter worth about $37,990,000.
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.
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