Shares of Cerebras Systems (Nasdaq: CBRS) are down more than 17% in premarket trading this morning.

The fall follows the company’s second quarter earnings report, its second since a blockbuster IPO in May.

While Cerebras saw its Core revenue rise 103%, it wasn’t enough to satisfy Wall Street’s high expectations.

In quarter two, the AI chipmaker made $180.1 million in total revenue, about $14 million short of analysts’ predicted $194 million, according to consensus estimates cited by CNBC. 

Cerebras also reported a net income loss per share of $2.98 for the quarter and $4.34 for the first half of the year. Those figures were positive in 2025, with diluted net income per share at $1.91 and $1.76, respectively. 

Shares have slid since high-profile stock listing

Even before Wednesday’s after-hours earnings report, the company’s shares were already down more than 15% from their first-day peak. 

Still, despite some misses, Cerebras raised its full-year outlook from a range of $855 million and $865 million to between $880 million and $890 million. 

In a post-earnings call, Cerebras cofounder, CEO, and president Andrew Feldman described 2026 as “a foundation-building year for Cerebras.” 

“We are expanding capacity by adding new contracts for data centers around the world, expanding manufacturing capabilities, and collaborating with our vendors to ensure supply and to support our extraordinary growth,” said Feldman.

He continued: “We are advancing our capabilities by inventing new technology that extends our performance and throughput and our power efficiency. We are expanding our customer base by accelerating AI productivity in existing markets like coding and agentic flows, and pioneering new areas like security, where speed opens up entirely new opportunities.” 

Feldman noted that the company is facing the same issue as many of its compatriots: a lack of available data center space.