Cerebras stock plunges 14% after second earnings report following IPO
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- Cerebras Systems reported Q2 revenue of $180 million ($210 million including pass-through revenue), missing the $194 million LSEG consensus estimate, though its adjusted loss per share of 5 cents beat the 17-cent loss expected.
- Cerebras raised its full-year core revenue outlook to $880–$890 million from a prior range of $855–$865 million and guided Q3 core revenue to $214–$216 million, yet the stock fell about 14% after the bell.
- Cerebras swung to a net loss of $450.5 million from a $309.5 million profit a year earlier, with $386.6 million tied to stock-compensation costs following its IPO.
- CEO Andrew Feldman told CNBC AI demand is "through the roof" and said Cerebras's "fast inference" chips command a premium price, with core gross margin guided to expand to 38–40% this quarter.
- Cerebras disclosed $25.4 billion in remaining performance obligations and told investors it expects revenue to roughly triple in the next fiscal year as it scales manufacturing.
- Cerebras announced new partnerships with AMD, with products entering production later this year, and with OpenAI, which will use Cerebras chips to serve its latest model, GPT 5.6 Sol; its cloud segment generated $126 million in the June quarter.
- Cerebras went public on the Nasdaq in May at $185, raising $6.4 billion; shares peaked shortly after the IPO but still closed Wednesday at $262.06, up 42% from the offering price.
Why it matters: Cerebras is one of the few credible challengers to Nvidia in AI inference, and the stock's 14% post-earnings slide — despite a guidance raise and a bullish CEO — shows investors want flawless execution, not just momentum. With $25.4 billion in contracted future revenue and an AMD partnership going into production this year, the company now has to translate backlog into the tripled revenue it's promising.
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