Cerebras returns to IPO with $40bn valuation goal

Cerebras Systems, a Sunnyvale, California-based AI chipmaker and rival to Nvidia, is set to begin its IPO roadshow on Monday as it seeks to raise $3.5 billion in its second attempt to go public. The company plans to sell 28 million shares priced between $115 and $125 each, targeting a valuation of around $40 billion. Cerebras will list on the Nasdaq under the ticker symbol "CBRS," with Morgan Stanley, Citigroup, Barclays and UBS serving as lead underwriters. The company withdrew its previous IPO filing last October before moving forward with this offering. The chipmaker is known for its wafer-scale engine chips designed to accelerate the training and inference of large AI models, positioning it in direct competition with Nvidia and other AI hardware firms. Cerebras reported revenue of $510 million for the year ended December 31, a significant increase from $290.3 million the previous year. The company also achieved a profit of $1.38 per share, marking a dramatic turnaround from a loss of $9.90 per share a year earlier. The IPO comes amid a surge in AI adoption that has driven sharp demand for high-performance chips needed to train and run complex models, turning semiconductors into a key bottleneck in the technology supply chain. As companies race to build out AI infrastructure including data centers and cloud services, chipmakers have emerged as major beneficiaries, with Nvidia leading the sector. Strong investor interest has lifted valuations across the AI chip industry, creating a favorable environment for Cerebras' public debut.