Nebius Group (NASDAQ:NBIS) Trading Down 10.4% – What’s Next?
by Sarita Garza · The Markets DailyNebius Group N.V. (NASDAQ:NBIS – Get Free Report) shares traded down 10.4% on Tuesday . The company traded as low as $113.11 and last traded at $116.33. 56,842,286 shares traded hands during trading, an increase of 291% from the average session volume of 14,554,526 shares. The stock had previously closed at $129.85.
Trending Headlines about Nebius Group
Here are the key news stories impacting Nebius Group this week:
- Positive Sentiment: Nebius signed a five‑year AI infrastructure agreement with Meta that commits $12 billion of dedicated capacity and allows Meta to buy up to ~$27 billion of total capacity over the term — a large, multi‑year revenue backlog that underpins growth expectations. Nebius Signs New AI Infrastructure Agreement with Meta
- Positive Sentiment: Nebius extended strategic ties with NVIDIA — including a collaboration to build an end‑to‑end platform for robotics/physical AI — and has secured NVIDIA support that investors view as easing GPU access for Nebius’ buildout. Nebius Teams With NVIDIA to Build Cloud for Robotics and Physical AI
- Positive Sentiment: Nebius announced a global security partnership with CrowdStrike to bring the Falcon platform to Nebius AI Cloud — a commercial move that can reassure enterprise customers about security for AI workloads. CrowdStrike and Nebius Partner
- Positive Sentiment: Wall Street coverage and price targets have moved higher after the Meta/NVIDIA newsflow (examples include BWS raising its target to $200 and Citi initiating coverage with a buy), supporting upside narrative. Analyst Coverage and Price Target Moves
- Neutral Sentiment: Nebius launched an Enterprise Readiness Initiative (with NVIDIA and VC partners) to help AI startups scale to enterprise — a longer‑term business development program that may broaden customer pipeline but has limited near‑term revenue impact. Enterprise Readiness Initiative
- Negative Sentiment: Nebius announced a proposed private offering of $3.75 billion of convertible senior notes (two series due 2031 and 2033). Markets are treating the sizable debt raise as a near‑term dilution/financing risk that can offset enthusiasm from commercial wins. Convertible Note Offering
- Negative Sentiment: Coverage and press highlighted investor caution: some outlets flagged the note offering and bond issuance as the reason for price weakness (Barron’s noted the stock fell on the bond offering and characterized the name as a “high risk” buy), amplifying short‑term selling. Barron’s: Nebius Falls on Bond Offering
Wall Street Analyst Weigh In
NBIS has been the topic of a number of recent research reports. Compass Point assumed coverage on shares of Nebius Group in a report on Wednesday, February 18th. They set a “buy” rating and a $150.00 price target on the stock. DA Davidson raised their target price on Nebius Group from $150.00 to $200.00 and gave the stock a “buy” rating in a research report on Monday. Weiss Ratings downgraded Nebius Group from a “hold (c-)” rating to a “sell (d+)” rating in a report on Thursday, January 15th. Citigroup assumed coverage on Nebius Group in a research note on Monday. They issued a “buy” rating and a $169.00 price target for the company. Finally, Citizens Jmp initiated coverage on Nebius Group in a research note on Wednesday, November 19th. They issued a “market outperform” rating and a $175.00 price objective on the stock. Two research analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $157.80.
View Our Latest Report on NBIS
Nebius Group Stock Down 10.4%
The firm has a market cap of $29.29 billion, a price-to-earnings ratio of -79.68 and a beta of 4.02. The firm has a 50 day moving average of $97.83 and a 200 day moving average of $98.89. The company has a quick ratio of 6.57, a current ratio of 3.08 and a debt-to-equity ratio of 0.89.
Nebius Group (NASDAQ:NBIS – Get Free Report) last issued its quarterly earnings results on Thursday, February 12th. The company reported ($0.69) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.42) by ($0.27). The business had revenue of $227.70 million during the quarter, compared to analyst estimates of $246.05 million. Nebius Group had a net margin of 19.02% and a negative return on equity of 11.70%. As a group, sell-side analysts predict that Nebius Group N.V. will post -1.1 earnings per share for the current year.
Institutional Investors Weigh In On Nebius Group
Large investors have recently bought and sold shares of the stock. State Street Corp grew its stake in shares of Nebius Group by 2,391.3% in the 4th quarter. State Street Corp now owns 3,219,326 shares of the company’s stock valued at $269,474,000 after buying an additional 3,090,103 shares during the period. Capital Research Global Investors acquired a new position in shares of Nebius Group during the fourth quarter worth approximately $231,635,000. Fred Alger Management LLC lifted its holdings in shares of Nebius Group by 33.4% in the 3rd quarter. Fred Alger Management LLC now owns 10,132,279 shares of the company’s stock worth $1,137,551,000 after purchasing an additional 2,536,832 shares in the last quarter. Accel Leaders 3 Associates L.P. acquired a new stake in Nebius Group in the 4th quarter valued at $188,496,000. Finally, Qube Research & Technologies Ltd bought a new stake in Nebius Group during the 3rd quarter valued at $238,511,000. 21.90% of the stock is currently owned by institutional investors and hedge funds.
About Nebius Group
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.