Cerebras shares fell 12% to $230 in early Wall Street trading, a day after reporting second-quarter 2026 results that showed strong growth. On an adjusted non-GAAP basis, the company improved its operating margin by 26 points to -16%, lifted gross margin by 9.4 points to 41%, and doubled revenue (+103%) to $209.9m, driven by cloud and other services revenue that quadrupled (+287%) to $127.7m. CEO Andrew Feldman cited "enormous" demand for fast inference and partnerships with OpenAI, AWS, AMD, and CrowdStrike, adding that remaining performance obligations stand at $25.4bn and that revenue is expected to more than triple in 2027. For 2026, Cerebras raised its adjusted revenue target to between $880m and $890m, from $855m to $865m previously, and adjusted gross margin guidance to 41% to 43%, versus a prior 38% to 41%; analysts expected 35.89%, according to LSEG. Wedbush called the pullback "understandable," citing elevated investor expectations after an 11.6% jump on Wednesday, another sequential decline in hardware sales, and relatively unchanged fourth-quarter expectations despite higher third-quarter and full-year outlooks. The broker maintained an "outperform" rating and raised its 12-month price target, noting next week's "Supernova" event, expected