Cerebras Systems’ AI Chip IPO Skyrockets Amidst Overwhelming Demand
Artificial intelligence chipmaker Cerebras Systems has seen a dramatic increase in its initial public offering (IPO) price range, now standing between $150 and $160 per share. This is a significant rise from the original range of $115 to $125, driven by surging investor demand ahead of its May 14 Nasdaq debut.
The company’s IPO has attracted orders for more than 20 times the number of shares available, prompting this increase. At the high end of the new range, Cerebras is set to raise approximately $4.8 billion and could achieve a valuation of up to $48.8 billion on a fully diluted basis.
Competing with Nvidia in the AI chip market, Cerebras reported a revenue of $510 million for 2025, boasting a 47% net margin. The company has secured major partnerships, including:
- A multi-year deal with OpenAI valued at over $10 billion
- Collaboration with Amazon Web Services
These partnerships are set to supply 750 megawatts of low-latency AI computing power.
The IPO marks Cerebras’ second attempt to go public after its 2024 filing was delayed by a national security review related to its Abu Dhabi-based customer G42. The listing is expected to be the largest IPO globally so far in 2026, with Morgan Stanley, Citigroup, Barclays, and UBS serving as lead underwriters.
Source: CNBC