Cerebras seeks $3.5B IPO

Kim Khan· Host0:01

[intro music] Welcome to Seeking Alpha's Wall Street Lunch, our afternoon update on today's market action, news, and analysis. Good afternoon. Today is Monday, May fourth, and I'm your host, Kim Khan. Our top story so far: artificial intelligence chipmaker Cerebras Systems is seeking to raise up to three and a half billion dollars in its upcoming initial public offering. The company plans to sell up to twenty-eight million shares priced between one hundred and fifty and one hundred and twenty-five dollars per share, according to an amended S-one filing with the SEC. At the midpoint, Cerebras would be valued at roughly twenty-six point five billion dollars. The company competes with NVIDIA and AMD, which is also a backer. Cerebras signed significant agreements with OpenAI and Amazon Web Services ahead of the offering, underscoring its push into AI infrastructure. Revenue rose seventy-six percent year over year to five hundred and ten million dollars in twenty twenty-five, according to the filing. The company posted net income of two hundred and thirty-seven point eight million in twenty-five, compared with a net loss of four hundred and eighty-one point six million in twenty twenty-four. Cerebras' chips are focused on inference workloads, an increasingly important segment as AI models shift from training to real-world deployment. The company initially filed for an IPO in September twenty twenty-four, but the process stalled amid a federal review of its ties to Abu Dhabi-based AI firm G42. Cerebras withdrew its plans in October twenty twenty-five and said last month that the issue had been resolved. G42 is no longer listed as a commercial partner or minority investor. Among active stocks, Churchill Downs reported that all sources handle for Derby