Cerebras Systems (NASDAQ:CBRS) Stock Sees Unusually High Put Option Buying

Cerebras Systems Inc. (NASDAQ:CBRS) was the target of some unusual options trading activity on Monday. Investors acquired 58,502 put options on the company. This is an increase of 24% compared to the average volume of 47,162 put options.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the company. UBS Group increased their target price on Cerebras Systems from $320.00 to $330.00 and gave the company a “buy” rating in a research note on Thursday, August 13th. Rosenblatt Securities reiterated a “buy” rating and issued a $300.00 price objective on shares of Cerebras Systems in a report on Wednesday, August 19th. Needham & Company LLC reiterated a “buy” rating and set a $300.00 price objective 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 report on Saturday, August 15th. Finally, Wedbush boosted their target price on Cerebras Systems from $280.00 to $290.00 and gave the stock an “outperform” rating in a research report on Thursday, August 13th. Two investment 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 assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $289.90.

Insiders Place Their Bets

In other Cerebras Systems news, COO Dhiraj Mallick sold 396,000 shares of Cerebras Systems stock in a transaction that occurred on Tuesday, September 29th. The shares were sold at an average price of $204.04, for a total transaction of $80,799,840.00. Following the completion of the sale, the chief operating officer directly owned 396,000 shares in the company, valued at $80,799,840. The trade was a 50.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Yagnesh Patel sold 1,320 shares of the business’s stock in a transaction that occurred 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 transaction, the chief accounting officer directly owned 15,356 shares of the company’s stock, valued at approximately $3,140,302. This represents a 7.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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 valued at $394,628,154 over the last three months.

Hedge Funds Weigh In On Cerebras Systems

A number of hedge funds have recently modified their holdings of the company. Frank Rimerman Advisors LLC increased its stake in shares of Cerebras Systems by 3,681.7% in the 3rd quarter. Frank Rimerman Advisors LLC now owns 56,271 shares of the company’s stock worth $9,997,000 after acquiring an additional 54,783 shares in the last quarter. ICG Advisors LLC boosted its stake in Cerebras Systems by 179.9% during the third quarter. ICG Advisors LLC now owns 15,000 shares of the company’s stock worth $2,665,000 after acquiring an additional 9,641 shares in the last quarter. NFSG Corp boosted its stake in Cerebras Systems by 1,483.7% during the third quarter. NFSG Corp now owns 8,821 shares of the company’s stock worth $1,567,000 after acquiring an additional 8,264 shares in the last quarter. Cohen Capital Management Inc. purchased a new stake in Cerebras Systems in the third quarter worth about $1,444,000. Finally, State Street Corp purchased a new stake in Cerebras Systems in the second quarter worth about $105,343,000.

Cerebras Systems Price Performance

Cerebras Systems stock traded down $12.82 during trading hours on Monday, reaching $96.36. The company had a trading volume of 13,013,535 shares, compared to its average volume of 7,807,036. The company has a debt-to-equity ratio of 0.02, a quick ratio of 5.80 and a current ratio of 5.82. Cerebras Systems has a 12-month low of $95.03 and a 12-month high of $386.34. The stock has a 50-day simple moving average of $168.82. The stock has a market cap of $22.89 billion and a price-to-earnings ratio of -1,204.50.

Cerebras Systems (NASDAQ:CBRS) last issued its earnings results 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 firm had revenue of $209.87 million for the quarter. The firm’s quarterly revenue was up 74.3% on a year-over-year basis. As a group, research analysts expect that Cerebras Systems will post -0.52 earnings per share for the current year.

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.