Cerebras Systems (CBRS) Stock Down 23% — But Analysts See 46%

TLDR

• Citi analyst Atif Malik initiated coverage on CBRS with a Buy rating and a Street-high price target of $340, implying 45.9% upside.
• Craig-Hallum also initiated with a Buy rating and a $325 price target, citing Cerebras’ wafer-scale technology as faster than competing AI inference solutions.
• CBRS stock was down 3.09% on Tuesday, extending losses to 23.54% since its May 14 IPO debut at $350.
• OpenAI and Amazon have both selected Cerebras as an AI inference solution in the past six months.
• Wall Street’s consensus is Strong Buy, with 10 Buy ratings and an average price target of $294 — implying roughly 27.69% upside from current levels.

Cerebras Systems (CBRS) went public on May 14, 2026, priced at $350 per share. Since then, the stock has dropped 23.54%, trading around $233 as of Tuesday.

Cerebras Systems Inc., CBRS

Despite the slide, analysts are lining up with bullish calls.

Citi’s Atif Malik kicked things off with a Buy rating and the highest price target on the Street at $340. That represents potential upside of around 46% from current levels.

Craig-Hallum followed, initiating at Buy with a $325 target. The firm pointed to Cerebras’ patented wafer-scale compute technology, which it said delivers faster AI inference speeds than anything else currently on the market.

Cerebras developed the world’s first wafer-scale compute technology — a chip that spans an entire silicon wafer rather than being cut into individual pieces.

Malik sees Cerebras capturing 40% to 50% of the fast inference market. Based on his $130 billion total addressable market estimate, that works out to between $52 billion and $65 billion in potential revenue.

Craig-Hallum puts the AI inference market even higher — projecting it will hit $250 billion or more by the end of the decade.

OpenAI and Amazon Signal Confidence

Both OpenAI and Amazon selected Cerebras as their inference solution in the last six months. Craig-Hallum said those deals tell the rest of the market that Cerebras is a real alternative to existing options.

The firm noted that speed is becoming a key differentiator in AI — pointing to recent model offerings that charge a premium specifically for faster response times.

Cerebras posted revenue of $510 million over the last twelve months, up 76% year-over-year. The company has already reached profitability.

That’s a rare combination for a company that only recently went public.

More Analysts Pile In

Several other firms also initiated coverage alongside Citi and Craig-Hallum.

Needham gave CBRS a Buy rating with a $300 target, citing its unique position as the sole supplier of Wafer-Scale Engines. Rosenblatt also rated it Buy at $300, highlighting performance from its third-generation system.

Wedbush started coverage at Outperform with a $270 target. Mizuho matched Wedbush’s Outperform rating and set a $300 target. Barclays came in Overweight at $280.

Across all 10 analysts who have rated the stock, the consensus is Strong Buy. The average price target sits at $294.

Trading volume on Tuesday was muted at roughly 1.75 million shares, well below the stock’s recent average of around 25 million.

Barclays specifically flagged the OpenAI and Amazon agreements as pivotal for Cerebras in the AI silicon market.

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