Nebius Group N.V. (NASDAQ:NBIS) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Nebius Group has a “Moderate Buy” consensus rating from 18 analysts: 10 buy ratings, seven holds and one strong buy. The average 12-month price target is $226.
• The company reported quarterly revenue of $582.3 million, up 454% year over year, and an adjusted loss of $0.12 per share that beat estimates by $0.55.
• Despite strong AI-related growth prospects and reported $5.75 billion in funding, valuation remains a concern after the stock gained about 203% over the past year; insiders have also sold roughly $46.3 million of shares in the last three months.

Nebius Group N.V. (NASDAQ:NBIS - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the eighteen research firms that are currently covering the stock, MarketBeat Ratings reports. Seven equities research analysts have rated the stock with a hold rating, ten have issued a buy rating and one has given a strong buy rating to the company. The average 12 month price target among analysts that have issued a report on the stock in the last year is $226.00.

Several analysts have issued reports on the stock. Citizens Jmp raised 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 note on Thursday, May 14th. DA Davidson reaffirmed a "neutral" rating and issued a $175.00 price objective on shares of Nebius Group in a research note on Thursday, August 13th. Weiss Ratings cut Nebius Group from a "hold (c)" rating to a "hold (c-)" rating in a research report on Tuesday, August 11th. Wall Street Zen raised shares of Nebius Group from a "strong sell" rating to a "sell" rating in a research report on Sunday, August 16th. Finally, Citigroup boosted their target price on Nebius Group from $278.00 to $324.00 and gave the stock a "buy" rating in a research note on Friday, August 14th.

Nebius Group Price Performance

Shares of NASDAQ:NBIS opened at $209.18 on Monday. The company has a quick ratio of 4.03, a current ratio of 4.03 and a debt-to-equity ratio of 0.82. The stock has a market cap of $52.93 billion, a PE ratio of -6,970.34 and a beta of 4.23. The company's fifty day moving average is $217.95 and its 200 day moving average is $178.27. Nebius Group has a 52 week low of $63.26 and a 52 week 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) earnings per share for the quarter, beating analysts' consensus estimates 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 firm had revenue of $582.30 million for the quarter, compared to analyst estimates of $567.91 million. During the same quarter in the previous year, the firm posted $2.38 EPS. The company's revenue for the quarter was up 454% compared to the same quarter last year. Research analysts anticipate that Nebius Group will post -3.76 earnings per share for the current year.

Nebius Group News Roundup

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

• Positive Sentiment: Nebius received a powerful boost from a reported $5.75 billion funding haul, easing concerns about how it will finance its planned AI expansion. The funding strengthens the company’s ability to build computing and data-center capacity, a key potential catalyst for future growth. What's Going On With Nebius Stock Thursday
• Positive Sentiment: Strong results from Nvidia reinforced expectations for sustained AI demand. Because Nebius is positioned as an AI infrastructure provider, investors interpreted Nvidia’s outlook as supportive of continued demand for GPUs, cloud capacity and data-center services. Nebius stock outlook as Nvidia predicts robust AI growth
• Positive Sentiment: Palo Alto Networks’ CEO reportedly described Nebius as operating in “a different league,” highlighting the scarcity of high-performance computing capacity and the pricing power available to companies with GPUs and data-center infrastructure. Palo Alto Networks' CEO Says Nebius Is in a Different League
• Neutral Sentiment: Broader technology-sector strength and improving technical and sentiment indicators could provide a favorable backdrop for high-growth AI stocks, although this is a market-wide factor rather than a Nebius-specific development. Why the Summer Slump is Setting Up Wall Street's Next Rally
• Negative Sentiment: Valuation is the main counterweight. Shares have gained about 203% over the past year, suggesting that considerable AI growth is already reflected in the price. Investors are questioning whether the expansion plans justify the premium valuation, leaving NBIS vulnerable to profit-taking or disappointment if execution slows. Is Nebius Group Priced For Perfection On AI Growth?

Insider Buying and Selling at Nebius Group

In other news, insider Andrey Korolenko sold 33,871 shares of the business's stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $235.45, for a total value of $7,974,926.95. Following the completion of the transaction, the insider owned 551,338 shares of the company's stock, valued at $129,812,532.10. The trade was a 5.79% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Charles E. Ryan sold 50,000 shares of the firm's stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $265.53, for a total transaction of $13,276,500.00. Following the completion of the transaction, the director directly owned 272,533 shares in the company, valued at approximately $72,365,687.49. This represents a 15.50% 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. In the last three months, insiders have sold 186,506 shares of company stock worth $46,264,387.

Institutional Investors Weigh In On Nebius Group

A number of institutional investors and hedge funds have recently modified their holdings of NBIS. Confluence Investment Management LLC grew its position in Nebius Group by 2.0% in the second quarter. Confluence Investment Management LLC now owns 2,475 shares of the company's stock worth $684,000 after acquiring an additional 48 shares in the last quarter. Jasper Ridge Partners L.P. raised its position in Nebius Group by 0.5% during the second quarter. Jasper Ridge Partners L.P. now owns 16,132 shares of the company's stock valued at $4,455,000 after purchasing an additional 74 shares in the last quarter. Ancora Advisors LLC lifted its stake in Nebius Group by 18.8% during the second quarter. Ancora Advisors LLC now owns 475 shares of the company's stock worth $131,000 after purchasing an additional 75 shares during the last quarter. N.E.W. Advisory Services LLC boosted its holdings in shares of Nebius Group by 76.0% in the 2nd quarter. N.E.W. Advisory Services LLC now owns 176 shares of the company's stock worth $49,000 after purchasing an additional 76 shares in the last quarter. Finally, Empirical Financial Services LLC d.b.a. Empirical Wealth Management boosted its holdings in shares of Nebius Group by 2.7% in the 1st quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 2,977 shares of the company's stock worth $309,000 after purchasing an additional 79 shares in the last quarter. Institutional investors and hedge funds own 21.90% of the company's stock.

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.

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