Cerebras Systems Inc. (NASDAQ:CBRS) Given Average Recommendation of “Moderate Buy” by Analysts

Cerebras Systems Inc. (NASDAQ:CBRS) has been given an average recommendation of “Moderate Buy” by the thirteen brokerages that are currently covering the company, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, two have assigned a hold rating, nine have assigned a buy rating and one has issued a strong buy rating on the company. The average twelve-month price objective among analysts that have issued a report on the stock in the last year is $299.90.

CBRS has been the subject of several recent analyst reports. Morgan Stanley upped their price objective on shares of Cerebras Systems from $273.00 to $279.00 and gave the stock an “overweight” rating in a report on Thursday, August 13th. Wall Street Zen raised shares of Cerebras Systems from a “sell” rating to a “hold” rating in a research report on Saturday, August 15th. Mizuho decreased their price target on shares of Cerebras Systems from $310.00 to $300.00 and set an “outperform” rating for the company in a report on Thursday, August 13th. TD Cowen started coverage on Cerebras Systems in a research report on Monday, June 8th. They issued a “buy” rating and a $275.00 price target on the stock. Finally, Barclays started coverage on Cerebras Systems in a research report on Monday, June 8th. They set an “overweight” rating and a $280.00 price objective for the company.

More Cerebras Systems News

Here are the key news stories impacting Cerebras Systems this week:

• Positive Sentiment: Cerebras’ new CS-4 accelerator is being promoted as a high-performance, power-efficient solution for AI inference, potentially helping the company compete with NVIDIA and AMD as demand for cloud-based AI computing expands. The performance claims still require broader customer validation. CS-4 and competition article
• Positive Sentiment: Cerebras partnered with Callosum to provide ultra-low-latency, heterogeneous AI inference for agentic applications. The agreement could expand Cerebras’ commercial reach in real-time AI workloads. Cerebras and Callosum partnership
• Positive Sentiment: Rosenblatt Securities and Needham & Company reiterated “Buy” ratings, with reported price targets near $300. The positive analyst view reflects optimism about Cerebras’ AI infrastructure growth, though it has not offset near-term selling pressure. Rosenblatt rating Needham rating
• Positive Sentiment: Call-option activity was about 42% above normal, indicating that some traders are positioning for a rebound or further upside. CBRS options activity
• Neutral Sentiment: Cerebras generated $209.9 million in quarterly revenue, up 74.3% year over year, but the growth has yet to translate into profitability. Investors are focused on whether CS-4 demand can improve margins and earnings.
• Negative Sentiment: Senior executives sold roughly $20.3 million of CBRS stock in transactions dated August 18, including sales by the CEO, COO, CTO and CAO. The filings state the shares were sold to cover tax withholding related to vested equity awards, reducing the bearish signal, but the scale of the transactions may still weigh on sentiment.
• Negative Sentiment: The company’s latest quarterly loss of $2.98 per share was far worse than the expected $0.21 loss. The large earnings miss, despite rapid revenue growth, raises concerns about execution, cash usage and the stock’s elevated valuation.

Cerebras Systems Price Performance

CBRS opened at $196.13 on Friday. The stock has a 50 day moving average of $208.25. Cerebras Systems has a twelve month low of $160.81 and a twelve month high of $386.34.

Cerebras Systems (NASDAQ:CBRS) last announced its quarterly earnings results 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 for the quarter was up 74.3% on a year-over-year basis. Equities analysts expect that Cerebras Systems will post -0.52 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Eric Vishria sold 68,268 shares of the company’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $229.77, for a total transaction of $15,685,938.36. Following the completion of the transaction, the director directly owned 31,383 shares in the company, valued at $7,210,871.91. The trade was a 68.51% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew D. Feldman sold 26,644 shares of the company’s 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 $5,920,829.68. Following the transaction, the chief executive officer owned 66,853 shares of the company’s stock, valued at approximately $14,856,073.66. This trade represents a 28.50% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 1,053,719 shares of company stock worth $218,628,280.

Institutional Trading of Cerebras Systems

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Knollwood Investment Advisory LLC acquired a new stake in Cerebras Systems in the 2nd quarter worth $4,576,000. TD Waterhouse Canada Inc. acquired a new position in shares of Cerebras Systems during the second quarter valued at about $630,000. Proficio Capital Partners LLC bought a new stake in shares of Cerebras Systems in the second quarter valued at about $1,383,000. Montanova Capital LLC acquired a new stake in Cerebras Systems during the second quarter worth about $37,990,000. Finally, Wellington Management Group LLP acquired a new stake in Cerebras Systems during the second quarter worth about $194,853,000.

About Cerebras Systems

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.