Citigroup Forecasts Strong Price Appreciation for Nebius Group (NASDAQ:NBIS) Stock

Key Points

• Citigroup raised its Nebius Group price target to $324 from $278 and maintained a “buy” rating, implying 18.76% upside from the stock’s reported $272.83 price.
• Nebius reported strong quarterly results, with revenue rising 454% year over year to $582.3 million and an adjusted loss of $0.12 per share that beat expectations. Analysts’ average rating remains “Moderate Buy,” with a consensus target of $226.
• Despite strong AI infrastructure demand and institutional buying, investors face significant risks, including extreme valuation, substantial capital-expenditure needs, execution and capacity-delivery concerns, high volatility, and recent insider selling.

Nebius Group (NASDAQ:NBIS - Get Free Report) had its price objective raised by equities researchers at Citigroup from $278.00 to $324.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm currently has a "buy" rating on the stock. Citigroup's target price suggests a potential upside of 18.76% from the stock's current price.

A number of other brokerages have also commented on NBIS. Freedom Capital raised shares of Nebius Group from a "hold" rating to a "strong-buy" rating in a report on Monday, July 20th. DA Davidson reissued a "neutral" rating and issued a $175.00 price target on shares of Nebius Group in a report on Thursday. Citizens Jmp boosted their price objective on shares of Nebius Group from $175.00 to $270.00 and gave the stock a "market outperform" rating in a research report on Thursday, May 14th. Zacks Research downgraded Nebius Group from a "strong-buy" rating to a "hold" rating in a report on Friday, July 31st. Finally, Wolfe Research started coverage on Nebius Group in a research report on Thursday, April 16th. They issued a "peer perform" rating on the stock. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $226.00.

Nebius Group Price Performance

NBIS traded up $17.79 during trading on Friday, hitting $272.83. The company's stock had a trading volume of 19,665,783 shares, compared to its average volume of 17,785,840. The company has a quick ratio of 8.33, a current ratio of 8.33 and a debt-to-equity ratio of 1.16. The stock has a market capitalization of $69.03 billion, a price-to-earnings ratio of -9,091.07 and a beta of 4.23. The firm's 50 day moving average price is $221.54 and its two-hundred day moving average price is $167.36. Nebius Group has a 12 month low of $62.01 and a 12 month high of $299.86.

Nebius Group (NASDAQ:NBIS - Get Free Report) last announced its earnings results on Thursday, August 13th. The company reported ($0.12) EPS for the quarter, topping the consensus estimate of ($0.67) by $0.55. Nebius Group had a negative return on equity of 7.33% and a net margin of 4.55%.The company had revenue of $582.30 million for the quarter, compared to analysts' expectations of $567.91 million. During the same quarter in the prior year, the business earned $2.38 earnings per share. The business's revenue for the quarter was up 454% on a year-over-year basis. Sell-side analysts forecast that Nebius Group will post -3.91 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CTO Danila Shtan sold 16,937 shares of the business's stock in a transaction that occurred on 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 completion of the transaction, 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 sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Andrey Korolenko sold 33,871 shares of Nebius Group stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $235.45, for a total transaction of $7,974,926.95. Following the completion of the transaction, the insider directly owned 551,338 shares in the company, valued at approximately $129,812,532.10. The trade was a 5.79% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 136,310 shares of company stock valued at $32,569,613.

Hedge Funds Weigh In On Nebius Group

Several hedge funds have recently made changes to their positions in NBIS. Orbis Allan Gray Ltd lifted its position in shares of Nebius Group by 12.4% in the second quarter. Orbis Allan Gray Ltd now owns 17,651,930 shares of the company's stock worth $976,681,000 after purchasing an additional 1,949,708 shares in the last quarter. BlackRock Inc. increased its stake in Nebius Group by 16.0% in the 2nd quarter. BlackRock Inc. now owns 11,531,270 shares of the company's stock valued at $3,184,591,000 after buying an additional 1,593,684 shares during the last quarter. Jennison Associates LLC lifted its position 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. Morgan Stanley boosted its stake in shares of Nebius Group by 35.2% during the 4th quarter. Morgan Stanley now owns 3,704,659 shares of the company's stock worth $310,099,000 after buying an additional 964,984 shares during the last quarter. Finally, Accel Leaders 4 Associates L.P. acquired a new position in shares of Nebius Group during the 2nd quarter worth about $1,012,097,322,000. 21.90% of the stock is owned by institutional investors.

More Nebius Group News

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

• Positive Sentiment: Exceptional Q2 growth: Revenue rose 454% year over year to $582.3 million, exceeding expectations of $567.9 million. Adjusted EBITDA reached $236 million, while annualized run-rate revenue approached $3 billion. EPS of negative $0.12 also beat the consensus loss estimate of negative $0.67. Nebius Group Q2 2026 Earnings Call Highlights
• Positive Sentiment: Large backlog and pricing power: Nebius’ backlog reportedly exceeds $40 billion. Its first capacity auction cleared 15% above its previous peak pricing and 20% above quotes for Blackwell chips, suggesting AI compute demand remains stronger than available supply. Nebius Q3 Auction Rating Upgrade
• Positive Sentiment: Lower funding risk: Customer prepayments now cover an estimated 50% to 60% of required capital expenditures, helping finance the AI infrastructure buildout without relying as heavily on debt or equity markets. Nebius Has More Power, More Contracts, and More Upside Potential
• Positive Sentiment: UK expansion: Nebius will deploy NVIDIA-powered infrastructure at Vantage Data Centers’ Newport, Wales, campus. The project is the first announced commercial capacity commitment in the South Wales AI Growth Zone and expands access to domestic UK compute capacity. Vantage and Nebius Expand UK AI Infrastructure
• Neutral Sentiment: Mixed analyst signals: BofA raised its price target to $310 and Robert W. Baird lifted its target to $340 with an outperform rating. A more bullish Seeking Alpha analysis set a $454 target, while DA Davidson maintained a neutral rating with a $175 target. BofA Tweaks Nebius Stock Price Target
• Negative Sentiment: Valuation and execution concerns: After its sharp advance, NBIS trades at a very high sales valuation, while unbilled customer prepayments have increased substantially. Investors also face capacity-delivery risk, heavy infrastructure spending and volatility. Michael Burry’s disclosed short position underscores the bearish debate. Michael Burry Shorts Nebius 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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