Insider Selling: Cerebras Systems (NASDAQ:CBRS) CFO Sells $6,614,725.00 in Stock

Cerebras Systems Inc. (NASDAQ:CBRS) CFO Robert Patrick Jr. Komin sold 32,500 shares of the stock in a transaction on Tuesday, September 29th. The shares were sold at an average price of $203.53, for a total value of $6,614,725.00. Following the transaction, the chief financial officer directly owned 30,670 shares of the company’s stock, valued at approximately $6,242,265.10. The trade was a 51.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Cerebras Systems Trading Down 1.8%

NASDAQ:CBRS opened at $166.43 on Friday. The firm’s 50-day simple moving average is $201.27. The company has a market cap of $39.54 billion and a price-to-earnings ratio of -2,080.38. The company has a debt-to-equity ratio of 0.02, a quick ratio of 5.80 and a current ratio of 5.82. Cerebras Systems Inc. has a twelve month low of $160.81 and a twelve month high of $386.34.

Cerebras Systems (NASDAQ:CBRS) last released its 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 company had revenue of $209.87 million for the quarter. The company’s revenue for the quarter was up 74.3% compared to the same quarter last year. On average, research analysts forecast that Cerebras Systems Inc. will post -0.52 earnings per share for the current year.

Cerebras Systems News Summary

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

• Positive Sentiment: Analyst pushes back on OpenAI concerns: A recent analyst argued that fears of OpenAI moving its AI workloads away from Cerebras are overblown and described competition from NVIDIA as exaggerated. The bullish view helped support the stock after its recent selloff. Cerebras Systems Stock Rises After Analyst Calls OpenAI Fears Overblown
• Positive Sentiment: Long-term AI demand remains a support: Cerebras continues to benefit from an attractive AI-inference market opportunity, while analysts have generally maintained positive ratings and price targets well above the current trading level. However, the company’s most recent quarterly loss significantly exceeded consensus expectations despite strong revenue growth.
• Neutral Sentiment: Valuation remains difficult to assess: Cerebras is valued on expected AI growth, backlog and technology advantages rather than current earnings. Analysts remain broadly constructive, but investors are debating whether its performance advantages will translate into durable market share and profitability. Cerebras Systems This Is Not a Golden Buying Opportunity
• Negative Sentiment: Multiple executives sold shares: COO Dhiraj Mallick sold 396,000 shares worth about $80.8 million, CFO Robert Patrick Jr. Komin sold 32,500 shares worth roughly $6.6 million, and CAO Yagnesh Patel sold 1,320 shares. The transactions were made under pre-arranged Rule 10b5-1 plans, but their scale—particularly the COO’s sale—has increased investor concern and selling pressure. Cerebras Executive Insider Sale
• Negative Sentiment: Competitive and customer risks persist: Reports that OpenAI may be shifting some of its fastest AI models toward NVIDIA hardware have raised concerns about Cerebras’ anchor-customer relationship and future growth. The stock also slipped below its IPO price as insider-sale filings added to the negative narrative. Cerebras Slipped Below Its IPO Price as Insiders Filed to Sell

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on CBRS shares. Citigroup reduced their price target on shares of Cerebras Systems from $340.00 to $320.00 and set a “buy” rating for the company in a research report on Thursday, August 13th. 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, August 19th. Zacks Research upgraded Cerebras Systems to a “hold” rating in a research note on Tuesday, June 9th. TD Cowen started coverage on Cerebras Systems in a research report on Monday, June 8th. They set a “buy” rating and a $275.00 price objective for the company. Finally, Mizuho decreased their target price on Cerebras Systems from $310.00 to $300.00 and set an “outperform” rating for the company in a research note on Thursday, August 13th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $299.90.

Institutional Trading of Cerebras Systems

Several hedge funds and other institutional investors have recently bought and sold shares of CBRS. Value Aligned Research Advisors LLC bought a new position in shares of Cerebras Systems during the 2nd quarter worth about $241,934,000. Wellington Management Group LLP bought a new stake in shares of Cerebras Systems in the second quarter valued at about $194,853,000. State Street Corp acquired a new stake in Cerebras Systems during the second quarter worth about $105,343,000. Dragoneer Investment Group LLC bought a new position in Cerebras Systems during the second quarter valued at about $88,400,000. Finally, Montanova Capital LLC bought a new position in Cerebras Systems during the second quarter valued at about $37,990,000.

Cerebras Systems Company Profile

Cerebras Systems is an artificial intelligence computing company that develops specialized hardware and software for training and deploying large AI models. The company’s technology is designed to address the computational demands of generative AI, deep learning and other data-intensive workloads.

Its core products include the Wafer-Scale Engine, a purpose-built AI processor produced on a single silicon wafer, and the CS-3 AI supercomputer, which incorporates that processor into an integrated computing system.