Cerebras Systems Outlook Strengthens on Hyperscaler Wins and Margin Upside, Wedbush Says

MT Newswires Live11-14 03:49

Cerebras Systems (CBRS) outlook is improving as hardware demand, margins and its customer base strengthen, Wedbush said in a note Friday.

Wedbush highlighted a stronger Q4 outlook, supported by a hardware revenue ramp and higher average selling prices. Microsoft's (MSFT) addition brings Cerebras to three hyperscaler customers, alongside Amazon (AMZN) AWS and Oracle (ORCL).

The firm sees further potential for higher prices and margins in 2027, citing graphics processing unit rental rates, memory costs and a shift to newer systems. It views delays in OpenAI-related data center capacity as timing-related.

Wedbush maintained its outperform rating on the stock and raised its price target to $205 from $190.

Price: 110.49, Change: +12.74, Percent Change: +13.03

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