Cerebras Systems (NASDAQ:CBRS) Stock Price Up 1.5% – Should You Buy?

Cerebras Systems Inc. (NASDAQ:CBRS)’s share price shot up 1.5% on Tuesday. The stock traded as high as $102.27 and last traded at $97.82. Approximately 9,289,856 shares were traded during trading, an increase of 19% from the average session volume of 7,824,169 shares. The stock had previously closed at $96.36.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on CBRS. Jefferies Financial Group raised Cerebras Systems to an “outperform” rating in a research note on Monday, October 5th. Rosenblatt Securities reaffirmed a “buy” rating and set a $300.00 target price on shares of Cerebras Systems in a research report on Wednesday, August 19th. Wall Street Zen raised Cerebras Systems from a “sell” rating to a “hold” rating in a research report on Saturday, August 15th. Morgan Stanley upped their target price on Cerebras Systems from $273.00 to $279.00 and gave the stock an “overweight” rating in a report on Thursday, August 13th. Finally, Weiss Ratings raised Cerebras Systems from a “sell (d-)” rating to a “sell (d)” rating in a research report on Wednesday, October 21st. Two equities research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $281.90.

Cerebras Systems Stock Performance

The company has a debt-to-equity ratio of 0.02, a quick ratio of 5.80 and a current ratio of 5.82. The firm’s 50 day moving average is $161.22.

Cerebras Systems (NASDAQ:CBRS) last issued its quarterly earnings data 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 company had revenue of $209.87 million for the quarter. The business’s revenue was up 74.3% compared to the same quarter last year. On average, analysts predict that Cerebras Systems Inc. will post -0.52 EPS for the current year.

Insider Activity

In related news, CAO Yagnesh Patel sold 1,320 shares of the company’s stock in a transaction on Monday, September 28th. The stock was sold at an average price of $204.50, for a total transaction of $269,940.00. Following the completion of the sale, the chief accounting officer directly owned 15,356 shares in the company, valued at $3,140,302. This represents a 7.92% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Robert Patrick Jr. Komin sold 32,500 shares of the business’s stock in a transaction dated Tuesday, September 29th. The stock was sold at an average price of $203.53, for a total transaction of $6,614,725.00. Following the completion of the transaction, the chief financial officer owned 30,670 shares of the company’s stock, valued at $6,242,265.10. This represents a 51.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,924,452 shares of company stock worth $394,628,154 over the last ninety days.

Institutional Investors Weigh In On Cerebras Systems

Several institutional investors have recently bought and sold shares of CBRS. Value Aligned Research Advisors LLC acquired a new position in shares of Cerebras Systems in the 2nd quarter valued at $241,934,000. Wellington Management Group LLP acquired a new stake in Cerebras Systems during the 2nd quarter worth about $194,853,000. Lunate Capital Ltd acquired a new stake in Cerebras Systems during the 3rd quarter worth about $115,351,000. State Street Corp acquired a new stake in Cerebras Systems during the 2nd quarter worth about $105,343,000. Finally, Dragoneer Investment Group LLC purchased a new stake in Cerebras Systems during the 2nd quarter valued at about $88,400,000.

Cerebras Systems Company Profile

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.