Cerebras Systems (NASDAQ:CBRS) Trading Up 14.7% – Time to Buy?

Cerebras Systems Inc. (NASDAQ:CBRS)’s stock price shot up 14.7% during mid-day trading on Thursday . The stock traded as high as $191.49 and last traded at $194.3670. Approximately 1,207,513 shares changed hands during trading, a decline of 83% from the average session volume of 7,011,002 shares. The stock had previously closed at $169.39.

Analyst Upgrades and Downgrades

CBRS has been the subject of several recent research reports. Wall Street Zen upgraded Cerebras Systems from a “strong sell” rating to a “sell” rating in a research report on Sunday, June 21st. Morgan Stanley increased their price objective on Cerebras Systems from $250.00 to $273.00 and gave the stock an “overweight” rating in a report on Wednesday, June 24th. Barclays initiated coverage on Cerebras Systems in a research note on Monday, June 8th. They issued an “overweight” rating and a $280.00 target price for the company. Rosenblatt Securities reaffirmed a “buy” rating and set a $300.00 target price on shares of Cerebras Systems in a report on Wednesday, June 24th. Finally, Freedom Capital upgraded Cerebras Systems to a “hold” rating in a research report on Monday, June 29th. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $300.30.

Cerebras Systems Stock Down 2.1%

The business’s 50 day simple moving average is $210.22.

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

Insiders Place Their Bets

In related news, COO Dhiraj Mallick sold 36,131 shares of the company’s stock in a transaction that occurred 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 transaction, the chief operating officer directly owned 33,314 shares in the company, valued at approximately $5,639,393.92. This represents a 52.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Andrew D. Feldman sold 17,990 shares of the firm’s stock in a transaction that occurred on Thursday, June 25th. The shares were sold at an average price of $173.06, for a total transaction of $3,113,349.40. Following the completion of the sale, the chief executive officer directly owned 17,990 shares in the company, valued at $3,113,349.40. This represents a 50.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 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.