Cerebras Systems Inc. $CBRS Stock: Sumitomo Mitsui Trust Group Inc. Increases Holdings

Sumitomo Mitsui Trust Group Inc. lifted its stake in shares of Cerebras Systems Inc. (NASDAQ:CBRS) by 59.6% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 490,139 shares of the company’s stock after acquiring an additional 183,035 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned 0.21% of Cerebras Systems worth $87,073,000 at the end of the most recent reporting period.

Other hedge funds have also modified their holdings of the company. Value Aligned Research Advisors LLC acquired a new stake in shares of Cerebras Systems during the second quarter worth $241,934,000. Wellington Management Group LLP purchased a new position in Cerebras Systems in the 2nd quarter worth about $194,853,000. State Street Corp purchased a new position in Cerebras Systems in the 2nd quarter worth about $105,343,000. Dragoneer Investment Group LLC acquired a new stake in shares of Cerebras Systems during the second quarter valued at approximately $88,400,000. Finally, Montanova Capital LLC acquired a new stake in Cerebras Systems during the 2nd quarter valued at $37,990,000.

Trending Headlines about Cerebras Systems

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

• Positive Sentiment: UBS maintained a “buy” rating. UBS lowered its price target from $330 to $250 but still sees substantial potential upside from the current share price. The target reduction reflects a more cautious outlook, while the continued buy rating provides some support for the stock. Why Cerebras Systems Stock Is Plummeting Today
• Neutral Sentiment: Investor law firms announced investigations. Levi & Korsinsky and Block & Leviton said they are investigating Cerebras Systems over potential securities-law violations and encouraged investors with significant losses to contact them. These announcements do not establish wrongdoing, but they add legal and reputational uncertainty. CBRS Investor Alert: Levi & Korsinsky Investigation Levi & Korsinsky Securities Fraud Investigation Block & Leviton Cerebras Investigation
• Negative Sentiment: A short-seller report remains the primary catalyst for the decline. Cerebras shares continued falling after Culper Research disclosed a short position, prompting investors to reassess the company’s business prospects and valuation. Cerebras Stock Hits All-Time Low
• Negative Sentiment: Bearish options activity signals increased downside hedging. Traders purchased 58,502 put options, about 24% above average volume, suggesting elevated demand for protection against further declines or for bearish positions.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on CBRS. Morgan Stanley increased their price objective on Cerebras Systems from $273.00 to $279.00 and gave the stock an “overweight” rating in a research note on Thursday, August 13th. UBS Group lowered their target price on Cerebras Systems from $330.00 to $250.00 and set a “buy” rating on the stock in a research note on Monday. Citigroup dropped their target price on Cerebras Systems from $340.00 to $320.00 and set a “buy” rating on the stock in a report on Thursday, August 13th. Wall Street Zen raised shares of Cerebras Systems from a “sell” rating to a “hold” rating in a research report on Saturday, August 15th. Finally, Rosenblatt Securities restated a “buy” rating and set a $300.00 price target on shares of Cerebras Systems in a report on Wednesday, August 19th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $281.90.

Cerebras Systems Price Performance

Shares of NASDAQ:CBRS opened at $96.36 on Tuesday. Cerebras Systems Inc. has a fifty-two week low of $95.03 and a fifty-two week high of $386.34. The company has a quick ratio of 5.80, a current ratio of 5.82 and a debt-to-equity ratio of 0.02. The business has a 50-day moving average of $166.82. The firm has a market capitalization of $22.89 billion and a PE ratio of -1,204.50.

Cerebras Systems (NASDAQ:CBRS) last released its quarterly earnings results on Wednesday, August 12th. The company reported ($2.98) EPS for the quarter, missing analysts’ consensus estimates of ($0.21) by ($2.77). The firm had revenue of $209.87 million for the quarter. Cerebras Systems’s quarterly revenue was up 74.3% compared to the same quarter last year. As a group, research analysts expect that Cerebras Systems Inc. will post -0.52 EPS for the current fiscal year.

Insiders Place Their Bets

In other Cerebras Systems news, Director Eric Vishria sold 68,268 shares of the business’s stock in a transaction on Monday, August 17th. The shares were sold at an average price of $229.77, for a total transaction of $15,685,938.36. Following the completion of the transaction, the director owned 31,383 shares of the company’s stock, valued at $7,210,871.91. The trade was a 68.51% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Sean Lie sold 710,247 shares of the business’s stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $207.86, for a total transaction of $147,631,941.42. Following the transaction, the chief technology officer directly owned 368,926 shares of the company’s stock, valued at approximately $76,684,958.36. This represents a 65.81% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 1,924,452 shares of company stock worth $394,628,154 in the last ninety days.

About Cerebras Systems

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.