Cerebras falls 16% after mixed results and revenue forecast disappoints investors - Bloomberg Línea
Article excerpt
Highlighted: the sentence this signal was extracted from
Bloomberg - Shares of Cerebras Systems Inc. ( CBRS ) fell at the close of the session after growth forecasts were more moderate than some investors expected, indicating that the company is still in the early stages of implementing a novel chip design. Revenue will amount to about US$215 million in the current quarter, Cerebras said in a statement on Wednesday. While this figure exceeded the average estimate of US$212 million, some forecasts were above US$220 million, according to data compiled by Bloomberg. See also: Cisco cools AI enthusiasm with lower-than-expected sales forecastThe forecast was part of Cerebras' quarterly earnings report, its second since going public. Wall Street is still defining its expectations for this chip designer and cloud computing provider. Given the enormous spending on data center technology, investors may have expected more of that money to be reflected in Cerebras' sales, said Paul Meeks, director of technology research at Freedom Capital Markets. "There may be a somewhat larger gap than people expect between infrastructure expansion and revenue," he noted. Investors have also been waiting for Cerebras to secure more customers. The company announced a US$10 billion deal with OpenAI in January and a pact with Amazon.com Inc. ( AMZN ) in March. However, the company's core technology remains a relatively niche product in a sector dominated by...
Keep reading with a free account
The rest of this article, and every signal for Cerebras, is in your free account.
