Cerebras Systems Inc. (NASDAQ:CBRS) shares are up on Thursday as the company disclosed significant expansions in its European operations.
The company is set to bring its first European data center capacity online by the end of 2026.
Expands European AI Data Center Footprint
Cerebras plans to expand total capacity to 200 MW by the end of 2027, responding to growing demand for local AI infrastructure.
The expansion reflects the company’s confidence in Europe as a long-term growth market, with a portion of the new capacity expected to support OpenAI workloads.
The company is actively building data centers in Norway and Finland, aiming to meet customer demands for fast, high-performance AI compute located closer to home.
OpenAI & AWS Deals
Recently, the company disclosed a multi-year deal with OpenAI valued at more than $20 billion, covering 750 megawatts of high-speed inference compute.
The company also launched a multi-year partnership with AWS to bring fast inference to global distribution for startups, AI-native companies, and enterprises, combining AWS’s Trainium 3 chips with Cerebras CS-3 systems in a disaggregated inference strategy.
Recent Earnings Release
Last month, Cerebras reported an adjusted loss of 4 cents per share, beating the consensus estimate of a 16-cent loss. In addition, it reported revenue of $193.40 million, beating the consensus estimate of $181.59 million.
Cerebras sees second-quarter revenue of $194.00 million, versus the consensus estimate of $174.34 million. The company anticipates fiscal-year revenue between $855.00 million and $865.00 million, versus the consensus estimate of $823.89 million.
Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $291.09. Recent analyst moves include:
- Freedom Capital Markets: Initiated with Hold (Target $209.00) (June 30)
- UBS: Buy (Raises Target to $320.00) (June 24)
- Rosenblatt: Buy (Maintains Target to $300.00) (June 24)
CBRS Technical Outlook: Momentum And Key Support
Currently, Cerebras Systems is trading at $190.60, which places it about 7.7% below its 20-day simple moving average (SMA) of $209.03. The moving average convergence divergence (MACD) is below its signal line, indicating that momentum is fading, suggesting that the stock may face challenges in sustaining upward price movement unless it can reclaim that baseline.
- Key Support: $161.00 — a nearby level where buyers previously stepped in.
CBRS Price Action: Cerebras Systems shares were up 7.09% at $188.93 at the time of publication on Thursday, according to Benzinga Pro data.
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