Cerebras Systems (NASDAQ:CBRS) Sets New 52-Week Low Following Analyst Downgrade

Shares of Cerebras Systems Inc. (NASDAQ:CBRS) reached a new 52-week low on Monday after TD Cowen lowered their price target on the stock from $275.00 to $175.00. TD Cowen currently has a buy rating on the stock. Cerebras Systems traded as low as $122.14 and last traded at $121.6380, with a volume of 1,715,629 shares trading hands. The stock had previously closed at $127.21.

Several other brokerages also recently issued reports on CBRS. Rosenblatt Securities reissued a “buy” rating and issued a $300.00 price objective on shares of Cerebras Systems in a research note on Wednesday, August 19th. Weiss Ratings cut Cerebras Systems from a “sell (d)” rating to a “sell (d-)” rating in a research note on Friday, September 25th. Needham & Company LLC reaffirmed a “buy” rating and set a $300.00 target price on shares of Cerebras Systems in a research note on Wednesday, August 19th. Freedom Capital upgraded Cerebras Systems from a “hold” rating to a “strong-buy” rating in a report on Friday, October 2nd. Finally, UBS Group raised their price target on Cerebras Systems from $320.00 to $330.00 and gave the stock a “buy” rating in a research note on Thursday, August 13th. Two equities research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Cerebras Systems has a consensus rating of “Moderate Buy” and an average price target of $289.90.

Insider Buying and Selling

In other news, Director Steven Vassallo sold 50,000 shares of Cerebras Systems stock in a transaction on Friday, September 4th. The stock was sold at an average price of $210.30, for a total value of $10,515,000.00. Following the transaction, the director directly owned 171,977 shares in the company, valued at approximately $36,166,763.10. This trade represents a 22.52% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CTO Sean Lie sold 710,247 shares of Cerebras Systems stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $207.86, for a total value of $147,631,941.42. Following the completion of the transaction, the chief technology officer owned 368,926 shares in the company, valued at $76,684,958.36. This trade represents a 65.81% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,864,452 shares of company stock valued at $387,680,754 over the last ninety days.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Wealth Enhancement Trust Services Inc. acquired a new position in shares of Cerebras Systems in the 3rd quarter valued at about $26,000. GK Wealth Management LLC acquired a new stake in Cerebras Systems during the third quarter worth about $31,000. Silicon Valley Capital Partners acquired a new stake in Cerebras Systems during the second quarter worth about $44,000. B. Riley Wealth Advisors Inc. grew its holdings in Cerebras Systems by 16.2% during the third quarter. B. Riley Wealth Advisors Inc. now owns 1,588 shares of the company’s stock worth $282,000 after acquiring an additional 221 shares during the period. Finally, Mather Group LLC. purchased a new position in Cerebras Systems during the third quarter valued at approximately $44,000.

Cerebras Systems Stock Down 2.0%

The stock’s 50-day moving average is $187.16. The company has a quick ratio of 5.80, a current ratio of 5.82 and a debt-to-equity ratio of 0.02. The company has a market cap of $28.09 billion and a P/E ratio of -1,478.00.

Cerebras Systems (NASDAQ:CBRS) last posted 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 firm had revenue of $209.87 million for the quarter. The business’s revenue was up 74.3% compared to the same quarter last year. Equities analysts predict that Cerebras Systems Inc. will post -0.52 EPS for the current fiscal year.

About Cerebras Systems

Cerebras Systems is a technology company that develops specialized computing systems for artificial intelligence and high-performance computing. Its core product is the Wafer-Scale Engine, a processor designed to provide large-scale computing capacity and high-speed data movement for training and running AI models.

The company offers integrated AI computing systems, including the Cerebras CS series, which combines its wafer-scale processors with supporting hardware and software. Cerebras also provides access to its technology through cloud-based services, enabling businesses, research organizations and other users to develop and deploy AI applications without operating the underlying systems themselves.

Founded in 2015 and headquartered in Sunnyvale, California, Cerebras serves customers in sectors such as technology, government, scientific research and other data-intensive industries.