A sign for Cerebras Systems Inc. during the company’s initial public offering (IPO) on the Nasdaq Market site on Thursday, May 14, 2026 in New York, USA.
Michael Nagle | Bloomberg | Getty Images
cerebrum Shares rose in premarket trading Monday, rebounding from last week’s decline, after OpenAI CEO Sam Altman reassured investors that the company is a “close partner.”
The AI hardware company, which debuted on the Nasdaq in May with a monster IPO, saw its stock plummet 20% to an all-time low last week after it was revealed that OpenAI would enhance GPT-6.1 Sol’s “Ultrafast” mode. Nvidia’s Equipped with a graphics processing unit instead of a Cerebras chip.
“There has been some speculation about a partnership with Cerebras,” Altman said in a post to X on Friday. “Cerebras is a close partner and we are deeply involved in driving the frontiers of speed forward.”
The company’s stock rose nearly 3% in extended trading Friday after Altman’s comments.
Shares rose 5.8% to $176 per share in pre-market trading. The company’s market capitalization now stands at just over $39 billion, down from $95 billion when it debuted in May.
Cerebras stock since its IPO in May.
Nvidia competitor Cerebras sells large computer chips and AI systems designed to run AI models faster than traditional GPUs. The company claimed that its flagship product, Wafer Scale Engine 3, runs faster than Nvidia’s GPUs.
In January, Cerebras signed a $10 billion deal with OpenAI to provide 750 megawatts of computing power through 2028.
Citi analysts said their view on Cerebra’s earnings outlook for 2026 to 2028 is “unchanged.”
“We believe Frontier AI Labs’ latest model will be initially deployed on internal chips before running on a third party or Cerebras cloud, so it is too early to read into it deeply,” they said in a note Friday morning.
“We believe the stock’s ability to outperform is increasingly tied to evidence that gross margins are stabilizing. A further delay in the gross margin trough is likely to have a negative impact on sentiment, especially given Cerebra’s premium valuation,” they added.
