CBRS - Sebrus Systems

Kim says inference was underestimated, Cerebras is paying off, and OpenAI made a great early deal with Cerebras. Faster inference is in high demand and people are willing to pay more for it.

Short-term looks terrible; classic IPO that priced high and immediately sold off from 375 to 175; early, but if it builds a first IPO base it could make money.

Double beat on earnings but opex significantly higher than expected; stock dropped after hours. Panelists see it as a high-risk/high-reward gamble in AI inference chips.

The FinFluencer acknowledges the impressive technology (13x faster inference), strong partnerships (OpenAI $20B+ deal, AWS), and rapid revenue growth (92% YoY). However, he expresses skepticism about the stock's premium valuation (~$50B market cap on $110M quarterly hardware revenue), concerns about whether hardware growth can compete with Nvidia's scale, and wants to see proof of delivery on large contracts. He states he needs more proof before buying and is staying away for now, though he will follow the stock closely.

The host explicitly advises against chasing the IPO after its 68% surge, noting it will likely pull back. He uses it as a catalyst to discuss the broader AI infrastructure opportunity rather than as a buy recommendation.

Cerebras IPO was priced at $185 and opened at $350 with a 200x revenue valuation. Soloway calls this 'beyond ridiculous' and explains that institutions pumped the semiconductor sector to create retail demand for the IPO. He warns retail investors are being set up as bag holders.