NEW YORK, Nov. 10, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Cerebras Systems Inc. (“Cerebras” or the “Company”) (NASDAQ: CBRS). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980.
The investigation concerns whether Cerebras and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
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On or around May 14, 2026, Cerebras completed its initial public offering (“IPO”), selling 30 million shares of Class A common stock priced at $185.00 per share. Then, on June 24, 2026, Cerebras reported its financial results for the first quarter of 2026. Among other items, Cerebras reported a loss of $0.22 per share, missing analyst estimates of a $0.16-per-share loss. In addition, Cerebras forecast a narrower gross margin in its core business, excluding impact from customer warrants and data center pass-through revenues.
On this news, Cerebras’s stock price fell $44.46 per share, or 19.61%, to close at $182.26 per share on June 24, 2026.
Then, on October 28, 2026, short seller Culper Research published a report alleging that Cerebras’s massive silicon wafers suffer from severe engineering flaws, resulting in an actual functional field lifespan of just 1.5 to 2.5 years. Culper further alleged that a proprietary connector material claimed by CEO Andrew Feldman to have been invented in-house is actually an off-the-shelf product from a third-party vendor. The report also claims that Cerebras programs its wafers to run continuous “dummy operations” to prevent them from cooling down and fracturing, forcing systems to run near peak power constantly and rapidly degrade. Culper also questioned a sudden extension in the assumed useful life of its data center equipment from 1.5–3 years to 3–5 years between early draft filings and its ultimate IPO registration statements, a modification that allegedly inflated reported first-half gross margins.
On this news, Cerebras’s stock price fell $6.75 per share, or 5.66%, to close at $112.56 per share on October 28, 2026.
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CONTACT:
Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980
