Cerebras Shares Fall to Post-IPO Low of $146.88 as Decline Deepens

Cerebras Systems shares fell to a new post-IPO low Monday, closing at $147.16 after reaching $146.88 intraday, about 62% below their first-day high of $386.34.

The stock began trading on Nasdaq under the ticker CBRS on May 14 after Cerebras priced its initial public offering at $185 per share. Shares opened at $350, climbed to $386.34 and finished the first session at $311.07.

Cerebras initially offered 30 million Class A shares. Underwriters later exercised an option to purchase 4.5 million additional shares, bringing total IPO issuance to 34.5 million shares.

The company designs wafer-scale processors and computing systems for artificial-intelligence workloads. Its IPO prospectus warned that the release or possible release of locked-up shares could put pressure on the stock.

Up to approximately 171.1 million shares could become eligible for release under lock-up or market-standoff provisions, including up to approximately 15 million shares held by directors and officers. Cerebras’ lock-up structure also allows periodic early releases of pre-IPO shares before the standard 180-day period expires.

The company’s filing index lists Form 144 notices for intended sales of restricted stock filed Sept. 25 and Sept. 29, along with Form 4 ownership filings from late September and early October. Those filings do not establish that all intended sales were completed.

The move came after the decline described in Cerebras shares’ nearly 20% weekly drop, which took the stock below its IPO price.