Stock Traders Buy High Volume of Cerebras Systems Put Options (NASDAQ:CBRS)

Cerebras Systems Inc. (NASDAQ:CBRS) saw unusually large options trading activity on Monday. Stock investors purchased 58,502 put options on the stock. This is an increase of approximately 24% compared to the average daily volume of 47,162 put options.

Cerebras Systems Stock Up 1.5%

Cerebras Systems stock opened at $97.82 on Wednesday. The company has a quick ratio of 5.80, a current ratio of 5.82 and a debt-to-equity ratio of 0.02. Cerebras Systems has a 1-year low of $95.03 and a 1-year high of $386.34. The company has a fifty day simple moving average of $165.07.

Cerebras Systems (NASDAQ:CBRS) last issued its quarterly earnings results on Wednesday, August 12th. The company reported ($2.98) EPS for the quarter, missing the consensus estimate of ($0.21) by ($2.77). The business had revenue of $209.87 million for the quarter. The business’s quarterly revenue was up 74.3% compared to the same quarter last year. On average, equities analysts expect that Cerebras Systems will post -0.52 earnings per share for the current fiscal year.

More Cerebras Systems News

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

• Positive Sentiment: UBS remains bullish despite lowering its target. UBS cut its price target from $330 to $250 but kept a Buy rating, implying substantial potential upside from the recently quoted share price. UBS price target update
• Positive Sentiment: Capacity and inference plans support the 2027 growth case. A Seeking Alpha analysis cited more than 600 MW of secured capacity and management’s expectation for over threefold revenue growth in 2027. It also said AMD- and AWS-related disaggregated inference could improve throughput and revenue per megawatt. Cerebras: Q3 Could Validate The 2027 Story
• Neutral Sentiment: Investors are awaiting Q3 results. The cited consensus is $214.7 million in revenue and a $0.14 per-share loss; the article noted increasingly positive estimate revisions. Results could help test whether execution supports the longer-term growth outlook. Q3 estimates and outlook
• Negative Sentiment: Short-seller concerns and customer rumors have weighed on sentiment. Coverage cited a short report, insider selling and unconfirmed claims that a major customer may have left. Cerebras shares fell to a 52-week low amid the concerns; the reports do not establish that the customer rumor is true. Cerebras selloff and analyst outlook
• Negative Sentiment: Bearish positioning and legal inquiries add risk. Put-option trading was unusually high, and law firms announced investigations into potential securities-law violations. These are signs of investor concern, not findings of wrongdoing. Cerebras stock hits a low Investor investigation notice

Insider Activity at Cerebras Systems

In related news, CFO Robert Patrick Jr. Komin sold 32,500 shares of the business’s stock in a transaction on Tuesday, September 29th. The shares were sold at an average price of $203.53, for a total value of $6,614,725.00. Following the sale, the chief financial officer directly owned 30,670 shares of the company’s stock, valued at approximately $6,242,265.10. The trade was a 51.45% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Dhiraj Mallick sold 396,000 shares of the company’s stock in a transaction on Tuesday, September 29th. The stock was sold at an average price of $204.04, for a total transaction of $80,799,840.00. Following the completion of the transaction, the chief operating officer directly owned 396,000 shares of the company’s stock, valued at approximately $80,799,840. The trade was a 50.00% decrease in their ownership of the stock. 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 have sold 1,924,452 shares of company stock valued at $394,628,154 over the last three months.

Institutional Trading of Cerebras Systems

Institutional investors and hedge funds have recently bought and sold shares of the stock. Wealth Enhancement Trust Services Inc. acquired a new stake in Cerebras Systems in the third quarter valued at $26,000. Blue Bell Private Wealth Management LLC bought a new position in shares of Cerebras Systems in the 3rd quarter valued at about $31,000. GK Wealth Management LLC acquired a new position in shares of Cerebras Systems during the 3rd quarter worth about $31,000. Silicon Valley Capital Partners acquired a new position in shares of Cerebras Systems during the 2nd quarter worth about $44,000. Finally, Torren Management LLC acquired a new position in shares of Cerebras Systems during the 3rd quarter worth about $39,000.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on the company. Citigroup cut their price target on Cerebras Systems from $340.00 to $320.00 and set a “buy” rating on the stock in a report on Thursday, August 13th. Jefferies Financial Group upgraded Cerebras Systems to an “outperform” rating in a report on Monday, October 5th. Needham & Company LLC reissued a “buy” rating and issued a $300.00 target price on shares of Cerebras Systems in a research report on Wednesday, August 19th. UBS Group cut 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. Finally, Freedom Capital raised Cerebras Systems from a “hold” rating to a “strong-buy” rating in a research report on Friday, October 2nd. Two research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Cerebras Systems has an average rating of “Moderate Buy” and an average price target of $281.90.

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.