Cerebras Systems Targets $26.6B Valuation in Major AI Chip IPO

Table of Contents Cerebras Systems, a manufacturer of artificial intelligence processors, has submitted a revised prospectus for a potential $3.5 billion capital raise through a Nasdaq initial public offering. Cerebras is seeking to raise as much as $3.5B in its U.S. IPO. The AI chipmaker already has a $20B multi-year deal with OpenAI and says Amazon plans to use its chips alongside Trainium. pic.twitter.com/PFYi6K7khL — Wall St Engine (@wallstengine) May 4, 2026 The chipmaker intends to offer 28 million shares within a $115 to $125 pricing bracket. Should the offering price at the maximum level, the company’s market capitalization would hit $26.6 billion. This represents an increase from the $23 billion valuation Cerebras achieved in February during its venture capital funding round, which counted Advanced Micro Devices among its backers. The firm produces AI processing units positioned as competitors to the graphics processing units manufactured by [[LINK_START_0]]Nvidia[[LINK_END_0]], the current leader in AI hardware markets. Trading will commence under the “CBRS” ticker on the Nasdaq Global Select Market. The offering is being led by Morgan Stanley, Citigroup, Barclays, and UBS Investment Bank as primary underwriters. An over-allotment provision allows Cerebras to release an additional 4.2 million shares to underwriters during the 30-day period following the IPO. At maximum pricing, this greenshoe option would generate another $525 million. The company initially attempted a public listing in 2024 but withdrew its application. At that time, Cerebras was transitioning from direct chip sales to operating a cloud computing platform built on its proprietary hardware. A second IPO filing was submitted in April 2026. The investor roadshow is currently in progress. In January 2025, Cerebras revealed plans to deliver up to 750 megawatts of AI computational capacity to OpenAI extending through 2028. Industry analysts valued this agreement at more than $20 billion. The company recorded fourth-quarter revenues of $510 million, marking a 76% surge from the corresponding quarter in the previous year. Cerebras achieved profitability with net income of $87.9 million during that same period, demonstrating its ability to operate in the black. Andrew Feldman, co-founder and chief executive officer, will retain his entire stake and is not divesting any shares during the offering. Following the IPO’s completion, his holdings of 10.3 million shares could be valued as high as $1.28 billion at the top pricing tier. The public offering arrives during a period of subdued technology IPO activity following interest rate increases that began in 2022. Competitor CoreWeave, which provides cloud-based access to Nvidia GPUs, successfully raised $1.5 billion in its own market debut last year. Mizuho and TD Cowen serve as bookrunners for the transaction, with multiple additional firms participating as co-managers. Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.