Fred Alger Management LLC Has $1.14 Billion Stock Position in Nebius Group N.V. $NBIS

Key Points

• Fred Alger Management LLC raised its stake in Nebius by 33.4% in Q3 to 10,132,279 shares (about $1.14 billion), representing roughly 4.3% of the company and its sixth-largest portfolio position.
• NVIDIA’s $2 billion strategic investment is the primary catalyst for Nebius, giving the company financing and technology access and helping drive bullish analyst coverage, strong demand and largely sold-out capacity forecasts.
• Despite the optimism, Nebius is unprofitable, recently missed EPS estimates, faces heavy multi-year capex to hit its expansion targets, and appears richly valued, increasing sensitivity to execution and cash-flow risk.

Fred Alger Management LLC raised its stake in shares of Nebius Group N.V. (NASDAQ:NBIS - Free Report) by 33.4% during the 3rd quarter, according to the company in its most recent filing with the SEC. The firm owned 10,132,279 shares of the company's stock after purchasing an additional 2,536,832 shares during the quarter. Nebius Group accounts for about 4.4% of Fred Alger Management LLC's investment portfolio, making the stock its 6th biggest position. Fred Alger Management LLC owned about 4.30% of Nebius Group worth $1,137,551,000 as of its most recent filing with the SEC.

Other large investors have also made changes to their positions in the company. Orbis Allan Gray Ltd grew its position in Nebius Group by 12.4% during the second quarter. Orbis Allan Gray Ltd now owns 17,651,930 shares of the company's stock worth $976,681,000 after buying an additional 1,949,708 shares in the last quarter. Clear Street Group Inc. acquired a new position in Nebius Group in the 3rd quarter valued at approximately $202,168,000. Ghisallo Capital Management LLC bought a new stake in shares of Nebius Group in the 3rd quarter worth approximately $180,084,000. BNP Paribas Financial Markets lifted its position in shares of Nebius Group by 1,679.9% in the 3rd quarter. BNP Paribas Financial Markets now owns 1,651,336 shares of the company's stock worth $185,395,000 after acquiring an additional 1,558,557 shares during the period. Finally, Gilder Gagnon Howe & Co. LLC acquired a new stake in shares of Nebius Group during the 2nd quarter worth approximately $49,337,000. Institutional investors and hedge funds own 21.90% of the company's stock.

Key Stories Impacting Nebius Group

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

• Positive Sentiment: NVIDIA’s $2 billion strategic investment is the primary catalyst — it provides financing, technology access (Rubin GPUs, Vera CPUs, BlueField storage) and a strong validation of Nebius’s hyperscale AI-cloud plan. Read More.
• Positive Sentiment: Very strong demand and capacity visibility: management says capacity is largely sold out through Q1, Q4 revenue momentum and aggressive 2026 revenue/ARR targets (management expects $3.0–$3.4B revenue in 2026 and has raised contracted power guidance). That supports revenue growth expectations and top-line upside. Read More.
• Positive Sentiment: Wall Street and media bullishness: multiple analyst write-ups and coverage highlight upside (some price targets imply ~30%+ upside and pieces argue larger rallies are possible), which can reinforce momentum and institutional interest. Read More.
• Neutral Sentiment: Broader market signals and technical setups could amplify moves in high-beta AI names like NBIS — some market commentators see buy signals at the index level that might support risk appetite. Read More.
• Neutral Sentiment: MarketBeat and other outlets note the Nvidia tie-in is reshaping sentiment and technicals for NBIS but also point out the stock remains off its October highs — momentum matters but isn’t uniform. Read More.
• Negative Sentiment: Valuation looks rich after the move (market pricing in aggressive growth; some analyses put EV/sales and price targets as stretched), increasing sensitivity to execution and growth shortfalls. Read More.
• Negative Sentiment: Profitability and capex risk remain material: NBIS is unprofitable, faces heavy multi‑year capex to hit its 5 GW goal, and isn’t expected to generate free cash flow for several years — misses on execution or demand pacing could trigger sharp pullbacks. Read More.

Nebius Group Trading Up 4.5%

Shares of NBIS opened at $112.95 on Monday. The company has a current ratio of 3.08, a quick ratio of 6.57 and a debt-to-equity ratio of 0.89. The stock has a market cap of $28.44 billion, a PE ratio of -77.36 and a beta of 4.02. Nebius Group N.V. has a 1 year low of $18.31 and a 1 year high of $141.10. The stock has a 50 day simple moving average of $97.09 and a 200-day simple moving average of $98.48.

Nebius Group (NASDAQ:NBIS - Get Free Report) last announced its quarterly earnings results on Thursday, February 12th. The company reported ($0.69) EPS for the quarter, missing the consensus estimate of ($0.42) by ($0.27). Nebius Group had a net margin of 19.02% and a negative return on equity of 11.70%. The company had revenue of $227.70 million during the quarter, compared to analyst estimates of $246.05 million. On average, sell-side analysts predict that Nebius Group N.V. will post -1.1 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on NBIS. Compass Point initiated coverage on Nebius Group in a research report on Wednesday, February 18th. They set a "buy" rating and a $150.00 price objective on the stock. Citizens Jmp assumed coverage on shares of Nebius Group in a research note on Wednesday, November 19th. They set a "market outperform" rating and a $175.00 price target on the stock. Freedom Capital raised shares of Nebius Group to a "strong-buy" rating in a report on Tuesday, February 3rd. Morgan Stanley began coverage on shares of Nebius Group in a research note on Thursday, January 15th. They issued an "equal weight" rating and a $126.00 price objective for the company. Finally, Weiss Ratings downgraded shares of Nebius Group from a "hold (c-)" rating to a "sell (d+)" rating in a report on Thursday, January 15th. Two investment analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Nebius Group currently has a consensus rating of "Moderate Buy" and a consensus price target of $143.22.

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.

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