Cerebras $CBRS falls 10%; Q2 margin guide drops to 36-38%

Cerebras $CBRS fell 10% in extended trading after its first public earnings report paired 92% revenue growth with a lower Q2 margin guide. The company reported Q1 revenue of $193.4M, up from $99.5M a year earlier, and a 22-cent loss per share, according to CNBC and the company release.

The margin number drove the reaction. Cerebras' investor PDF lists Q1 core gross margin at 47%, with Q2 core revenue of approximately $194.0M and Q2 core gross margin of 36-38%. Full-year 2026 core revenue is guided to $855.0M-$865.0M, up 69% year over year at the midpoint, with full-year core gross margin of 38-41%.

The earnings event meets the Tier-1 filter because it combines concrete reported numbers, explicit guidance and a double-digit stock move. CNBC also noted that shares are down 28% since the post-IPO pop, after pricing at $185, opening at $350 and closing the first day at $311.07.

The market stake is AI-chip profitability. Cerebras is competing for inference and training workloads with wafer-scale processors and its own cloud service, while also supplying compute capacity to large customers. Revenue growth remains rapid, but the lower margin guide forces investors to separate demand growth from manufacturing and service-delivery costs. The next checks are management's call commentary, Q2 margin delivery, and whether large cloud and AI customers convert backlog into higher-margin recurring revenue.

Not investment advice. Verify all figures with primary sources before acting.