Stock Track | Cerebras Systems Plummets 5.05% Intraday Amid Profitability Concerns and IBM's Competitive Chip Tech Breakthrough

Stock Track
Jun 25

Cerebras Systems' stock plummeted 5.05% during Thursday's intraday trading session.

The decline follows recent investor concerns over the company's profitability outlook, highlighted by its second-quarter core gross margin guidance of 36%-38%, which significantly trails industry leader NVIDIA. This guidance was disclosed in the company's first post-IPO earnings report, which initially triggered a selloff.

Adding to the pressure, IBM unveiled a breakthrough chip technology capable of producing semiconductors smaller than 1 nanometer. This new "nanostack" architecture is reported to shrink a type of memory circuit (SRAM) by 40%, a component heavily used in chips from companies including Cerebras Systems. The advancement represents a significant competitive development in the AI computing space, where Cerebras operates.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10