Cerebras Systems (CBRS) is innovating AI chip design with its Wafer-Scale Engine (WSE), which features approximately 4 trillion transistors and aims to simplify AI workloads by reducing data movement between chips. The WSE-3’s specifications include 900,000 AI-optimized cores and 44 gigabytes of on-chip memory. In Q1 2026, Cerebras reported core revenues of $191.3 million, a 92% year-over-year increase, with cloud and services revenues rising 167% to $79.8 million. The Zacks Consensus Estimate projects revenues of $861.3 million for 2026 and $2.77 billion for 2027.
The company has notable partnerships with OpenAI and Amazon, including a $20 billion agreement with OpenAI for high-speed inference compute. However, Cerebras faces risks due to dependency on major partners and market constraints, reporting a 19.2% drop in stock over the past month—significantly underperforming NVIDIA’s 3.8% decline and AMD’s 7.4% increase. Concerns also include near-term gross margin compression and challenges in securing data-center capacity, with a projected loss of 89 cents per share in 2026.
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