Cerebras Systems Forecasts 38–41% Margins as Shares Tumble 17%
CBRS•Cerebras Systems forecast 2026 adjusted gross margins of 38%–41%, below its 47% Q1 margin and far under Nvidia’s mid-70% and AMD’s mid-50%. Shares plunged over 17% to $185.23 after the company warned lock-up releases of 28 million shares and confirmed OpenAI and AWS deployments.
1. Margin Guidance and Investor Reaction
Cerebras projected 2026 adjusted gross margins of 38%–41%, down from 47% in Q1. Following this guidance, shares dropped over 17% to $185.23, marking the lowest price since its Nasdaq debut.
2. Lock-Up Schedule Details
The company confirmed that 28 million Class A shares held by insiders become tradable shortly after earnings, aiming to smooth out sell pressure compared with standard post-IPO lock-up expirations.
3. AI Partnerships and Deployments
Cerebras reiterated that OpenAI’s GPT 5.4 operates on its chips with 750 megawatts committed and that Amazon Web Services will start integrating its semiconductors in data centers within the next year.
4. Competitive Position and Challenges
Unlike peers facing high-bandwidth memory shortages, Cerebras does not rely on advanced memory processes, but it faces delays in opening new data centers as permitting and real estate constraints slow infrastructure expansion.
