Cerebras Systems (NASDAQ:CBRS) Stock Price Down 9.7% – Here’s Why

Cerebras Systems Inc. (NASDAQ:CBRS)’s stock price traded down 9.7% during trading on Wednesday . The stock traded as low as $182.50 and last traded at $184.01. 4,575,905 shares traded hands during trading, a decline of 38% from the average daily volume of 7,381,810 shares. The stock had previously closed at $203.81.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on CBRS. Zacks Research raised Cerebras Systems to a “hold” rating in a research note on Tuesday, June 9th. Rosenblatt Securities reissued a “buy” rating and set a $300.00 target price on shares of Cerebras Systems in a research report on Wednesday, June 24th. Morgan Stanley raised their price target on shares of Cerebras Systems from $250.00 to $273.00 and gave the company an “overweight” rating in a report on Wednesday, June 24th. UBS Group boosted their price objective on shares of Cerebras Systems from $300.00 to $320.00 and gave the stock a “buy” rating in a research note on Wednesday, June 24th. Finally, Wall Street Zen raised shares of Cerebras Systems from a “strong sell” rating to a “sell” rating in a research report on Sunday, June 21st. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, Cerebras Systems currently has an average rating of “Moderate Buy” and an average target price of $299.30.

Cerebras Systems Stock Down 9.7%

The firm’s 50 day moving average price is $225.96.

Cerebras Systems (NASDAQ:CBRS) last released its quarterly earnings results on Tuesday, June 23rd. The company reported ($0.04) EPS for the quarter, topping the consensus estimate of ($0.14) by $0.10. The company had revenue of $193.41 million for the quarter, compared to analyst estimates of $180.70 million.

Insider Activity

In related news, COO Dhiraj Mallick sold 36,131 shares of Cerebras Systems stock in a transaction on Thursday, June 25th. The shares were sold at an average price of $169.28, for a total transaction of $6,116,255.68. Following the sale, the chief operating officer owned 33,314 shares of the company’s stock, valued at $5,639,393.92. The trade was a 52.03% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CTO Sean Lie sold 10,033 shares of the business’s stock in a transaction on Thursday, June 25th. The stock was sold at an average price of $170.07, for a total transaction of $1,706,312.31. Following the completion of the transaction, the chief technology officer owned 10,033 shares in the company, valued at $1,706,312.31. This represents a 50.00% decrease in their position. 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. In the last three months, insiders sold 117,547 shares of company stock valued at $20,676,799.

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.