Cerebras shares hit record low after IPO lockup expires

Cerebras Systems, a company that makes specialized chips for AI computing, saw its stock price drop to an all-time low this week, falling about 20%. The decline follows the expiration of a post-IPO lockup period, which allowed early investors and insiders to sell their shares for the first time.

Analysts also pointed to competitive pressure from Nvidia, the dominant player in AI chips, as a factor weighing on Cerebras shares. The combination of increased share supply from the lockup expiration and concerns about Cerebras's position relative to Nvidia contributed to the sharp weekly decline.