Cerebras's stock price rose before the opening on Monday, rebounding from last week's decline. The reason is that OpenAI's Chief Executive Officer Sam Altman assured investors that the company is a "close partner" of OpenAI.

This AI hardware company completed a massive initial public offering on NASDAQ in May this year. Last week, as it was revealed that OpenAI would use NVIDIA's graphics processors for GPT-6.1 and Sol in its “Ultrafast” mode, rather than Cerebras's chips, the company's stock price plummeted by 20% to its lowest level.

On Friday, Altman posted on X, saying: 'There are many speculations about our cooperation with Cerebras. Cerebras is a close partner, and we have in-depth collaboration in advancing the frontiers of speed.'

After Altman made the aforementioned remarks, the company's stock price rose by nearly 3% in after-hours trading on Friday.

As of the latest pre-market trades, Cerebras has risen by 6.3% to trade at $177 per share, which is nearly half lower than its post-IPO high. The company's current market value is slightly over $39 billion, compared to $95 billion when it went public in May of this year.

Cerebras is a competitor to NVIDIA, selling large-scale computing chips and AI systems aimed at running AI models faster than traditional GPU. The company claims that its flagship product, Wafer Scale Engine 3, runs faster than NVIDIA's GPU.

Cerebras signed a $10 billion agreement with OpenAI in January, planning to provide them with 750 megawatts of computing power by 2028.

Analysts from Citi stated that their view on Cerebras's revenue prospects between 2026 and 2028 'has not changed'.

In a report on Friday morning, they wrote: "We believe that the latest models from the cutting-edge AI laboratories will initially be launched on their own chips before being run on third-party or Cerebras clouds, so it is still too early to interpret this at this time."

"We believe that whether the stock can continue to outperform in the future increasingly depends on whether there are signs of stabilization in gross profit margins. If the bottoming out of gross profit margins is further delayed, it may dampen market sentiment, especially given the relatively high valuation of Cerebras," they added.