Cerebras IPO debut sees shares surge 68% as ETFs offer diversified route
Analysts suggest exchange-traded funds such as Ark Invest’s ARKK and ARKW provide lower-risk exposure to the volatile new listing.
Cerebras Systems, a specialist in wafer-scale engine technology, made its debut on the NASDAQ stock exchange on 14 May 2026. The company priced its initial public offering at $185 per share, with shares closing at $311.07 on the first day of trading. This represents a significant surge for the artificial intelligence chipmaker as it entered the public markets.
Financial analysts suggest that investors seeking exposure to the stock may consider exchange-traded funds (ETFs) to mitigate volatility risks associated with the newly listed stock. The Motley Fool’s Stock Advisor analyst team did not include Cerebras in their current list of 10 recommended stocks, citing potential risks despite the IPO hype.
Ark Invest’s ARKK ETF currently holds Cerebras shares, representing a 0.9% weighting in its portfolio. The fund, which targets disruptive companies, has $6.5 billion in net assets and an expense ratio of 0.75%. As an actively managed closed-end interval fund, it allows managers to periodically repurchase shares from investors.
Ark Invest’s ARKW ETF holds Cerebras shares, representing a 1.1% weighting in its portfolio. This fund focuses on companies facilitating the migration of digital infrastructure to the cloud and holds other AI stocks such as Advanced Micro Devices and Nvidia. It has approximately $1.7 billion in net assets and an expense ratio of 0.76%.
Other semiconductor-focused funds are expected to add Cerebras to their portfolios in the near future. While the long-term performance of Cerebras shares remains uncertain, institutional interest in AI-related stocks continues to be strong, with recent heavy buying of NVIDIA shares amid strong earnings highlighting the sector's appeal.
