Nebius Group (NASDAQ:NBIS) Now Covered by Truist Financial

Key Points

• Truist Financial initiated coverage with a “buy” rating and a $355 price target, implying 47.7% upside from Nebius Group’s previous close.
• Nebius reported quarterly revenue of $582.3 million, up 454% year over year and above expectations, while its adjusted loss of $0.12 per share significantly beat estimates.
• Analysts remain broadly positive, with a consensus “Moderate Buy” rating and $234.60 target, but the stock’s high valuation, ongoing losses and elevated volatility create downside risks if infrastructure expansion or growth disappoints.

Investment analysts at Truist Financial assumed coverage on shares of Nebius Group (NASDAQ:NBIS - Get Free Report) in a report issued on Wednesday, Benzinga reports. The firm set a "buy" rating and a $355.00 price target on the stock. Truist Financial's price target suggests a potential upside of 47.70% from the company's previous close.

Other equities analysts also recently issued research reports about the company. Robert W. Baird upped their price objective on Nebius Group from $250.00 to $340.00 and gave the company an "outperform" rating in a research report on Thursday, August 13th. Morgan Stanley upped their price objective on Nebius Group from $126.00 to $144.00 and gave the stock an "equal weight" rating in a research note on Thursday, May 14th. Citizens Jmp upped their price target on Nebius Group from $175.00 to $270.00 and gave the stock a "market outperform" rating in a research report on Thursday, May 14th. Citigroup upped their price target on shares of Nebius Group from $278.00 to $324.00 and gave the company a "buy" rating in a research note on Friday, August 14th. Finally, DA Davidson restated a "neutral" rating and issued a $175.00 price objective on shares of Nebius Group in a research note on Thursday, August 13th. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and seven have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $234.60.

Nebius Group Stock Performance

Shares of NASDAQ:NBIS traded down $3.53 during mid-day trading on Wednesday, reaching $240.35. 10,333,572 shares of the company traded hands, compared to its average volume of 17,863,186. The company's 50 day moving average price is $211.24 and its 200-day moving average price is $184.27. The firm has a market cap of $60.81 billion, a PE ratio of -8,009.00 and a beta of 4.23. Nebius Group has a 52 week low of $73.52 and a 52 week high of $299.86. The company has a debt-to-equity ratio of 0.82, a current ratio of 4.03 and a quick ratio of 4.03.

Nebius Group (NASDAQ:NBIS - Get Free Report) last posted its quarterly earnings results on Thursday, August 13th. The company reported ($0.12) EPS for the quarter, beating analysts' consensus estimates of ($0.67) by $0.55. Nebius Group had a negative return on equity of 6.03% and a net margin of 4.55%.The business had revenue of $582.30 million for the quarter, compared to analysts' expectations of $567.91 million. During the same period last year, the firm earned $2.38 earnings per share. The business's quarterly revenue was up 454% on a year-over-year basis. On average, equities analysts expect that Nebius Group will post -3.76 EPS for the current fiscal year.

Insider Buying and Selling at Nebius Group

In related news, CTO Danila Shtan sold 16,937 shares of Nebius Group stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $235.45, for a total value of $3,987,816.65. Following the sale, the chief technology officer directly owned 274,763 shares in the company, valued at approximately $64,692,948.35. The trade was a 5.81% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director John Wilson Iv Boynton sold 5,812 shares of the business's stock in a transaction that occurred on 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 sale, the director owned 378,665 shares of the company's stock, valued at $95,912,057.85. The trade was a 1.51% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 159,013 shares of company stock worth $39,216,975.

Institutional Trading of Nebius Group

A number of hedge funds have recently bought and sold shares of NBIS. California State Teachers Retirement System raised its holdings in shares of Nebius Group by 23,011.0% during the 2nd quarter. California State Teachers Retirement System now owns 62,163,381 shares of the company's stock worth $17,167,661,000 after acquiring an additional 61,894,404 shares during the period. Orbis Allan Gray Ltd raised its position in Nebius Group by 12.4% in the second quarter. Orbis Allan Gray Ltd now owns 17,651,930 shares of the company's stock valued at $976,681,000 after purchasing an additional 1,949,708 shares during the period. BlackRock Inc. lifted its stake in Nebius Group by 16.0% during the 2nd quarter. BlackRock Inc. now owns 11,531,270 shares of the company's stock worth $3,184,591,000 after acquiring an additional 1,593,684 shares in the last quarter. Situational Awareness LP purchased a new stake in Nebius Group during the second quarter worth about $1,232,895,000. Finally, Jennison Associates LLC lifted its holdings in Nebius Group by 134.3% during the 2nd quarter. Jennison Associates LLC now owns 3,983,899 shares of the company's stock worth $1,100,233,000 after buying an additional 2,283,676 shares in the last quarter. Institutional investors and hedge funds own 21.90% of the company's stock.

Nebius Group News Roundup

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

• Positive Sentiment: Palantir partnership strengthens Nebius’ enterprise position. Palantir named Nebius its preferred sovereign AI infrastructure partner, combining Palantir’s software with Nebius’ NVIDIA-powered GPU data centers. The arrangement could expand Nebius’ customer pipeline, particularly among organizations requiring domestic control of data, models, and computing resources. Sovereign AI: Palantir and Nebius Cut the Cloud Cord
• Positive Sentiment: Faster capacity deployment could support revenue growth. The companies plan to accelerate modular data-center construction at locations with available power, potentially reducing the delays associated with conventional data-center development. Palantir and Nebius form sovereign AI infrastructure partnership
• Positive Sentiment: Contract economics remain attractive. Nebius reportedly has multiyear AI-cloud contracts averaging more than $1 billion, while customer prepayments cover roughly 50% to 60% of related capacity expenditures. Management also indicated that demand could fill its 2027 capacity, and initial Blackwell capacity was auctioned at record pricing. Nebius Stock Is Actually Cheap
• Positive Sentiment: Growth momentum supports the bullish case. Recent quarterly revenue rose 454% year over year to $582.3 million and exceeded estimates, while the company’s strong liquidity provides funding flexibility for continued expansion.
• Neutral Sentiment: Investors are focused on execution. Nebius is targeting substantial increases in connected and contracted power, making utilization rates, construction schedules, GPU availability, and customer conversion key upcoming catalysts.
• Negative Sentiment: Infrastructure expansion carries substantial risk. Delays in securing power, building facilities, or deploying NVIDIA processors could postpone revenue and increase capital requirements. Pure-Play AI Cloud vs. Energy-Driven Infrastructure
• Negative Sentiment: Valuation and volatility remain concerns. Shares are trading above the average analyst price target after the recent surge, while Nebius remains unprofitable on an earnings-per-share basis and has a very high beta. Any disappointment in growth or margins could trigger a sharp pullback.

Nebius Group Company Profile

Nebius Group N.V. NASDAQ: NBIS is a technology company focused on artificial intelligence infrastructure and related services. Its principal business is Nebius AI, a cloud platform that provides computing, storage, networking and managed infrastructure designed to support the development and deployment of AI applications, including access to accelerated computing resources.

The company also operates or develops businesses in adjacent technology markets. These include Toloka, which provides data and evaluation services for machine-learning systems; TripleTen, an online education platform offering technology-focused training; and Avride, a developer of autonomous driving and delivery technologies.

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