Cerebras Systems, the AI chip company that debuted on public markets with the kind of fanfare usually reserved for rock star IPOs, has seen its stock slide below its $185 IPO price. Shares dropped to around $182 on June 24, a roughly 19.6% intraday decline triggered by the company’s first post-IPO earnings report.
From debut darling to margin concerns
Cerebras priced its IPO at $185 per share on May 13, 2026, raising approximately $5.5 to $6 billion in what became one of the year’s largest public offerings. Trading began the next day under the ticker CBRS, and the stock promptly ripped nearly 70% higher, hitting an intraday high of around $385 before settling at $311.07 by close.
The company’s Q1 2026 earnings report, released on June 23, told a more nuanced story. Revenue came in at $193.4 million, representing annual growth of 92 to 94%. The adjusted net loss narrowed to just $2.5 million.
Cerebras guided for Q2 core gross margins of 36 to 38%, a steep drop from the 46.5% posted in Q1. Shares fell approximately 11% in after-hours trading following the report and continued sliding the next day, ultimately breaching the $185 IPO price to trade near $182.
