Nebius Group (NASDAQ:NBIS) Trading Down 3.2% – What’s Next?

Nebius Group N.V. (NASDAQ:NBIS)’s share price was down 3.2% during mid-day trading on Monday . The company traded as low as $263.82 and last traded at $268.85. 19,600,462 shares traded hands during mid-day trading, an increase of 10% from the average session volume of 17,860,941 shares. The stock had previously closed at $277.68.

Trending Headlines about Nebius Group

Here are the key news stories impacting Nebius Group this week:

• Positive Sentiment: Nebius reported quarterly revenue of $582.3 million, up 454% year over year, and exceeded analysts’ earnings expectations. Analysts have highlighted a substantial backlog and capacity expansion funded by customer commitments. Nebius revenue forecast article
• Positive Sentiment: New AI-cloud contracts reportedly priced at approximately $20 million to $25 million per megawatt, along with contracted-power guidance rising to 5 gigawatts, suggest stronger pricing power and potentially higher long-term revenue than previously anticipated. Nebius pricing inflection article
• Positive Sentiment: Commentary remains bullish on Nebius’ asset-light partnerships, customer prepayments, recurring revenue, and potential margin expansion in 2027. A reported role in discussions involving Decart AI could also expand its strategic position in AI infrastructure. Nebius asset-light model article
• Positive Sentiment: Several analysts have raised their price targets, including a reported target of $324, while one bullish thesis places the potential value substantially higher if capacity and pricing targets are achieved. Nebius price target article
• Neutral Sentiment: Media attention around Senator Alan Armstrong’s purchase of Nebius shares may increase visibility, but it does not materially change the company’s fundamentals. Senator Nebius investment article
• Negative Sentiment: Bearish commentary warns that NBIS already reflects much of its expected growth, with a premium valuation and potential “bull trap” if the stock cannot sustain its recent momentum. Michael Burry has also questioned whether current compute-contract economics are durable. Nebius potential bull trap article
• Negative Sentiment: Reaching the 5-gigawatt capacity goal will require substantial capital expenditures and could increase financing or dilution risk. The stock is also vulnerable to an AI-sector valuation reset, execution delays, and semiconductor-market weakness. Nebius contracted power guidance article

Wall Street Analyst Weigh In

NBIS has been the topic of a number of recent analyst reports. Morgan Stanley increased their price target on shares of Nebius Group from $126.00 to $144.00 and gave the stock an “equal weight” rating in a research note on Thursday, May 14th. Piper Sandler began coverage on Nebius Group in a report on Monday, August 3rd. They set a “neutral” rating and a $224.00 price objective for the company. Northland Securities increased their target price on Nebius Group from $248.00 to $410.00 and gave the stock an “outperform” rating in a research report on Monday, July 20th. Bank of America lifted their target price on Nebius Group from $240.00 to $280.00 and gave the company a “buy” rating in a report on Monday, June 8th. Finally, Freedom Capital raised Nebius Group from a “hold” rating to a “strong-buy” rating in a research report on Monday, July 20th. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and seven have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $226.00.

Nebius Group Trading Down 3.2%

The company has a debt-to-equity ratio of 0.82, a current ratio of 4.03 and a quick ratio of 4.03. The business’s 50-day simple moving average is $222.53 and its two-hundred day simple moving average is $168.67. The stock has a market capitalization of $68.02 billion, a price-to-earnings ratio of -8,958.68 and a beta of 4.23.

Nebius Group (NASDAQ:NBIS) last released its quarterly earnings data on Wednesday, August 12th. The company reported ($0.12) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.67) by $0.55. Nebius Group had a net margin of 4.55% and a negative return on equity of 6.03%. The company had revenue of $582.30 million during the quarter, compared to analyst estimates of $567.91 million. During the same quarter in the prior year, the business earned $2.38 earnings per share. The business’s quarterly revenue was up 454% compared to the same quarter last year. On average, research analysts anticipate that Nebius Group N.V. will post -3.91 earnings per share for the current fiscal year.

Insider Activity

In other news, Director John Wilson Iv Boynton sold 5,812 shares of the stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $253.29, for a total value of $1,472,121.48. Following the completion of the sale, the director owned 378,665 shares in the company, valued at approximately $95,912,057.85. This trade represents a 1.51% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Sanchez Maria Del Dado Alonso sold 1,509 shares of the firm’s stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $276.20, for a total value of $416,785.80. Following the sale, the chief financial officer owned 12,672 shares in the company, valued at approximately $3,500,006.40. The trade was a 10.64% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 136,310 shares of company stock worth $32,569,613 in the last quarter.

Hedge Funds Weigh In On Nebius Group

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Allied Private Wealth LLC acquired a new stake in Nebius Group in the second quarter valued at approximately $25,000. Sarver Vrooman Wealth Advisors acquired a new position in shares of Nebius Group during the second quarter worth $28,000. GoalVest Advisory LLC purchased a new position in shares of Nebius Group in the second quarter valued at $28,000. N.E.W. Advisory Services LLC boosted its stake in shares of Nebius Group by 76.0% in the second quarter. N.E.W. Advisory Services LLC now owns 176 shares of the company’s stock valued at $49,000 after purchasing an additional 76 shares during the period. Finally, Continuum Advisory LLC purchased a new position in shares of Nebius Group in the second quarter valued at $52,000. Hedge funds and other institutional investors own 21.90% of the company’s stock.

Nebius Group Company Profile

Nebius Group N.V., a technology company, builds intelligent products and services powered by machine learning and other technologies to help consumers and businesses navigate the online and offline world. The company’s services include Nebius AI, an AI-centric cloud platform that offers infrastructure and computing capability for AI deployment and machine-learning oriented solutions; and Toloka AI that offers generative AI (GenAI) solutions at every stage of the GenAI lifecycle, such as data annotation and generation, model training and fine-tuning, and quality assessment of large language model for accuracy and reliability.