Cerebras Systems (NASDAQ:CBRS) Trading Down 5.9% – Here’s Why

Cerebras Systems Inc. (NASDAQ:CBRS)’s share price dropped 5.9% during trading on Monday . The company traded as low as $193.18 and last traded at $192.6860. 740,112 shares changed hands during trading, a decline of 91% from the average session volume of 7,861,199 shares. The stock had previously closed at $204.86.

Analyst Ratings Changes

A number of equities analysts have issued reports on CBRS shares. UBS Group raised their price target on shares of Cerebras Systems from $300.00 to $320.00 and gave the stock a “buy” rating in a research report on Wednesday, June 24th. Zacks Research raised shares of Cerebras Systems to a “hold” rating in a report on Tuesday, June 9th. Freedom Capital upgraded shares of Cerebras Systems to a “hold” rating in a research note on Monday, June 29th. Wedbush raised their target price on shares of Cerebras Systems from $270.00 to $280.00 and gave the stock an “outperform” rating in a report on Wednesday, June 24th. Finally, TD Cowen started coverage on shares of Cerebras Systems in a research report on Monday, June 8th. They set a “buy” rating and a $275.00 target price for the company. One research 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. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $299.30.

Cerebras Systems Trading Down 4.5%

Cerebras Systems (NASDAQ:CBRS) last announced its earnings results on Tuesday, June 23rd. The company reported ($0.04) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.14) by $0.10. The business had revenue of $193.41 million for the quarter, compared to analysts’ expectations of $180.70 million.

Insider Transactions at Cerebras Systems

In other news, CTO Sean Lie sold 10,033 shares of the firm’s stock in a transaction that occurred on Thursday, June 25th. The stock was sold at an average price of $170.07, for a total value of $1,706,312.31. Following the transaction, the chief technology officer owned 10,033 shares in the company, valued at $1,706,312.31. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 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 stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $169.28, for a total value of $6,116,255.68. Following the completion of 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 ownership of the stock. 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 worth $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.