AlphaMadera's AlphaVal page classifies Cerebras Systems Inc. as a Distressed or Transitioning business and values it using Current EPS × Depressed Multiple, then compares the result to the current market price to flag CBRS as undervalued, fairly valued, or overvalued.

What is Cerebras Systems Inc.'s fair value?

Fair value for CBRS comes from a Current EPS × Depressed Multiple model -- the approach AlphaVal selected for this company's Distressed or Transitioning classification. The live AlphaVal page shows bear, base, and bull scenarios alongside the key assumption behind each.

How does AlphaMadera value CBRS?

AlphaVal routes each company to one of ten valuation archetypes based on its business model. CBRS was classified as Distressed or Transitioning and is valued using Current EPS × Depressed Multiple, built from CBRS's most recent reported fundamentals.

CBRS - Cerebras Systems Inc.

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $300.50 DETAILS

AlphaVal

Deterministic, archetype-aware fair value

Distressed or Transitioning 72% confidence

Primary model: Current EPS × Depressed Multiple

Valuation Signal Overvalued Strong

Trading 6278.2% above fair value

Current Price $196.13

Bear Case $2.05 99.0% downside ($2.05 - $196.13) / $196.13 = -99.0% Same EPS, market stays skeptical at 5x

Fair Value $3.07 98.4% downside ($3.07 - $196.13) / $196.13 = -98.4% Same EPS, 8x depressed multiple

Bull Case $4.10 97.9% downside ($4.10 - $196.13) / $196.13 = -97.9% Same EPS, multiple re-rates to 10x

Adjust Assumptions

EPS Multiple

7.5x

Key Value Driver

Whether the core business model is intact or structurally impaired

Terminal Value % of EV

Implied Market Multiple 478.4x

Market is pricing in (growth)

Plain-Language Summary

Stock is 49% below 52-week high. Using current EPS at a 8x depressed multiple, base-case value is $3.07. Wide scenario range: $2.05–$4.10.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (7 analysts) $300.50

Analyst Range $279.00 – $330.00

Divergence from AlphaVal 99%

Warnings

⚠ Don't assume past cash flow levels will return — the company's troubles may have permanently reduced its ability to generate profits.

⚠ A stock can look cheap on paper and still lose half its value if the underlying business is permanently damaged.

ℹ The wide range between our best and worst cases is intentional — pretending to know a precise value for a troubled company would be misleading.

ℹ Wall Street's average price target is $300.50 (from 7 analysts). Our estimate is 99% below the consensus -- consider that gap carefully.

Key Risks

Bullish DCF projections are fundamentally unknowable for distressed companies
M&A speculation can floor the stock above intrinsic value temporarily
Management credibility is a key input — new CEO expands the bull case