Latest update
$180
Updated: Jul 16, 2026, 8:47 PM UTC
Browsing public data
Cerebras Systems Inc. designs and manufactures an AI compute platform, including proprietary systems and software, for data centers and supercomputers. Their core technology is a wafer-scale engine chip, aiming to outperform GPUs for AI applications like Generative AI. The company serves hyperscalers, foundation model labs, AI-native businesses, and sovereign AI initiatives globally.
Revenue
The total dollars the company billed customers. When this number grows quarter after quarter, the business is finding more demand.
Latest
↑$193.4M
Q1 2026
The most recent reported figure, in the company's own currency and reporting cadence.
QoQ
↑+94.4%
vs Q1 2025
How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.
YoY
•—
How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.
CAGR
•—
insufficient history
The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.
Net income
What's left from revenue after paying every cost — employees, materials, taxes, interest. Sometimes called profit or 'the bottom line.'
Latest
↑-$14M
Q1 2026
The most recent reported figure, in the company's own currency and reporting cadence.
QoQ
•—
vs Q1 2025
How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.
YoY
•—
How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.
CAGR
•—
insufficient history
The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.
Free cash flow
The cash actually left in the bank after the company has paid for everything and reinvested in itself. Harder to fake than net income.
Latest
↑-$119.6M
Q1 2026
The most recent reported figure, in the company's own currency and reporting cadence.
QoQ
•—
vs Q1 2025
How much this quarter grew compared to last quarter. Useful for spotting acceleration or slowdown in real time.
YoY
•—
How much this quarter grew compared to the same quarter one year ago. Strips out seasonality — a slow holiday quarter looks worse QoQ but normal YoY.
CAGR
•—
insufficient history
The smooth yearly growth rate that gets you from the starting value to the current value. A 100% CAGR over 3 years means the business tripled, on average, each year.
| Metric | 3 yr | 2 yr | 1 yr |
|---|---|---|---|
| Revenue | — | — | +94.4% $99.5M→$193.4M |
| Net income | — | — | — |
| Free cash flow | — | — | — |
P/E TTM
↑392.3×
Trailing twelve months. Today's price divided by the last year of actual earnings.
P/E NTM
↑188.5×
Next twelve months. Today's price divided by what analysts expect the company to earn over the coming year.
Profitability
↑Strong
Operating margin (and the wider return profile) tells you how efficiently each dollar of sales becomes profit. High and rising = pricing power; low or falling = the business is grinding.
Share count
→Stable
Are the buybacks outrunning the stock-based comp? A shrinking share count means every existing share owns a bigger slice of future earnings.
Debt load
↑Light
Total debt against cash and earnings power (EBITDA). Light debt leaves room to invest and weather downturns; heavy debt shrinks the margin for error.
Debt service
→Mixed
Whether the cash the business generates easily covers its interest and loan payments. Strong here = no forced selling in a bad year.
Cash return at today's price
↓—
Free cash flow divided by market cap — the cash yield you're getting for the price you pay. Above ~6% is rich, below ~3% is thin. P/E shown when the yield is too small to be useful.
The stock's price action indicates a clear markdown phase. It is trading well below its recent moving average on decreased volume, which is characteristic of distributions. Relative weakness compared to the overall market and its sector further confirms the defensive posture. While long-term prospects in AI are strong, the current setup suggests that near-term price movement will likely be negative, warranting a SELL call this week.
Short-term thesis
Cerebras Systems presents a compelling long-term narrative as an AI infrastructure innovator with remarkable revenue growth and a unique wafer-scale engine. However, its current financial profile shows significant losses and cash burn alongside a very demanding valuation, suggesting that future growth and profitability are aggressively priced in. The immediate market action reveals a clear need for caution.
Long-term exposure
Maybe own
There is a case here, but one sleeve still needs work.
Entry window
Trim / avoid
Cerebras stock is currently in a downtrend, trading significantly below its daily moving average with contracting volume. This suggests continued weakness and less buying interest, making it a defensive week for the stock. Given current price action and momentum, it's prudent to reduce exposure or avoid initiating new positions.
Risk check
Fragile
The downside can widen quickly if this setup goes wrong.
Alignment
Mixed
Neither horizon fully wins, so size and patience matter.
What supports it
What limits it
Long-term thesis
AI infrastructure enabling next-generation Generative AI and large-scale computational demands.
Bottleneck Role
Cerebras acts as a critical bottleneck solver in the AI compute space by offering a wafer-scale engine that aims to overcome the performance and efficiency limitations of traditional GPUs for specific, large-scale AI workloads like inference and Generative AI, thereby accelerating model training and deployment processes.
Consensus Blind Spot
The market might be underestimating the long-term total cost of ownership (TCO) advantages and performance scaling for truly massive AI models that Cerebras' architecture can offer beyond initial procurement costs, compared to a disaggregated GPU approach.
Demand Gap
The demand gap exists in the ability of current GPU-centric infrastructure to efficiently and cost-effectively scale for the rapidly increasing complexity and size of AI models, particularly in areas like real-time large language model inference and massive parallel computing.
Demand to Equity Scenarios
Rapid adoption of domain-specific large language models and increased investment in Sovereign AI initiatives, where Cerebras' integrated solutions offer significant advantages.
Demand
+40%
Earnings
+30%
Equity implication
+70%
Higher order volumes from hyperscalers and national AI projects, driving increased platform sales and software subscriptions.
Steady, strong growth in enterprise AI adoption and ongoing improvements in Cerebras' hardware and software stack.
Demand
+20%
Earnings
+15%
Equity implication
+35%
Consistent revenue growth and gradual improvement in operating leverage as sales scale.
Intensified competition from incumbent GPU manufacturers and other AI chip startups, coupled with slower-than-expected transition to wafer-scale computing.
Demand
-10%
Earnings
-20%
Equity implication
-50%
Market share erosion, pricing pressure, and extended periods of negative earnings as R&D costs remain high without matching sales growth.
Dependency Chain
Repricing Triggers
Must be true
Thesis broken if
Jul 16, 2026
LatestUpdated Jul 16, 2026, 8:47 PM UTC
Price at review
$180
Cerebras stock is currently in a downtrend, trading significantly below its daily moving average with contracting volume. This suggests continued weakness and less buying interest, making it a defensive week for the stock. Given current price action and momentum, it's prudent to reduce exposure or avoid initiating new positions.