Cerebras Systems (NASDAQ:CBRS) Trading Up 5.8% – Should You Buy?

Cerebras Systems Inc. (NASDAQ:CBRS) shares rose 5.8% during mid-day trading on Wednesday . The company traded as high as $186.99 and last traded at $186.9410. Approximately 878,570 shares traded hands during mid-day trading, a decline of 89% from the average session volume of 7,696,812 shares. The stock had previously closed at $176.61.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. Barclays initiated coverage on shares of Cerebras Systems in a report on Monday, June 8th. They set an “overweight” rating and a $280.00 price objective on the stock. Craig Hallum began coverage on shares of Cerebras Systems in a research report on Monday, June 8th. They issued a “buy” rating and a $325.00 price target on the stock. Wall Street Zen upgraded Cerebras Systems from a “strong sell” rating to a “sell” rating in a research note on Sunday, June 21st. Morgan Stanley raised their target price on Cerebras Systems from $250.00 to $273.00 and gave the company an “overweight” rating in a report on Wednesday, June 24th. Finally, Rosenblatt Securities reiterated a “buy” rating and set a $300.00 price target on shares of Cerebras Systems in a report on Wednesday, June 24th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $299.30.

Cerebras Systems Stock Up 2.9%

Cerebras Systems (NASDAQ:CBRS) last posted its quarterly earnings results on Tuesday, June 23rd. The company reported ($0.04) earnings per share for the quarter, topping the consensus estimate of ($0.14) by $0.10. The firm had revenue of $193.41 million for the quarter, compared to the consensus estimate of $180.70 million.

Insider Buying and Selling

In other news, CAO Yagnesh Patel sold 6,079 shares of the firm’s stock in a transaction that occurred on Thursday, June 25th. The shares were sold at an average price of $171.53, for a total value of $1,042,730.87. Following the completion of the transaction, the chief accounting officer directly owned 4,000 shares in the company, valued at approximately $686,120. This trade represents a 60.31% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Dhiraj Mallick sold 36,131 shares of the business’s stock in a transaction that occurred on Thursday, June 25th. The shares were sold at an average price of $169.28, for a total transaction of $6,116,255.68. Following the transaction, the chief operating officer directly owned 33,314 shares of the company’s stock, valued at approximately $5,639,393.92. This represents a 52.03% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 117,547 shares of company stock valued at $20,676,799 over the last three months.

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.