Insider Selling: Cerebras Systems (NASDAQ:CBRS) CEO Sells $5,920,829.68 in Stock

Cerebras Systems Inc. (NASDAQ:CBRS) CEO Andrew Feldman sold 26,644 shares of Cerebras Systems stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $222.22, for a total transaction of $5,920,829.68. Following the completion of the transaction, the chief executive officer directly owned 66,853 shares in the company, valued at $14,856,073.66. This represents a 28.50% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Cerebras Systems Stock Down 6.5%

CBRS stock opened at $196.13 on Friday. Cerebras Systems Inc. has a 12 month low of $160.81 and a 12 month high of $386.34. The company’s 50 day simple moving average is $208.25.

Cerebras Systems (NASDAQ:CBRS) last posted its quarterly 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 business had revenue of $209.87 million for the quarter. Cerebras Systems’s revenue for the quarter was up 74.3% on a year-over-year basis. Equities analysts predict that Cerebras Systems Inc. will post -0.52 earnings per share for the current fiscal year.

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.

Institutional Investors Weigh In On Cerebras Systems

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CBRS. Tiger Pacific Capital LP acquired a new stake in shares of Cerebras Systems during the 2nd quarter valued at $221,000. TD Waterhouse Canada Inc. acquired a new position in shares of Cerebras Systems in the second quarter worth $630,000. Proficio Capital Partners LLC purchased a new stake in shares of Cerebras Systems during the second quarter worth $1,383,000. Knollwood Investment Advisory LLC acquired a new stake in Cerebras Systems during the second quarter valued at $4,576,000. Finally, Ratan Capital Management LP acquired a new stake in Cerebras Systems during the second quarter valued at $4,641,000.

Analyst Ratings Changes

A number of equities analysts recently issued reports on CBRS shares. Needham & Company LLC restated a “buy” rating and issued a $300.00 target price on shares of Cerebras Systems in a report on Wednesday. Weiss Ratings began coverage on Cerebras Systems in a research report on Thursday, August 13th. They issued a “sell (d)” rating for the company. Wall Street Zen raised Cerebras Systems from a “sell” rating to a “hold” rating in a research note on Saturday, August 15th. Morgan Stanley boosted their price objective on Cerebras Systems from $273.00 to $279.00 and gave the stock an “overweight” rating in a report on Thursday, August 13th. Finally, Zacks Research upgraded shares of Cerebras Systems to a “hold” rating in a report on Tuesday, June 9th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $299.90.

Cerebras Systems Company Profile

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.