Western Financial Corp CA Buys 13,880 Shares of Nebius Group N.V. $NBIS

Key Points

• Western Financial Corp CA initiated a $3.27 million position in Nebius Group during the third quarter, purchasing 13,880 shares. The holding represents approximately 1.1% of the fund’s portfolio, while institutional investors collectively own 21.9% of NBIS.
• Nebius reported strong operating growth, with quarterly revenue rising 454% year over year to $582.3 million and adjusted EPS exceeding expectations, although analysts expect a full-year loss.
• The stock faces significant volatility and valuation concerns: shares recently fell to $186.01, insiders sold $36.8 million worth of stock over the past three months, and investors remain focused on capital-spending, financing and profitability risks despite a consensus “Moderate Buy” rating.

Western Financial Corp CA bought a new stake in Nebius Group N.V. (NASDAQ:NBIS - Free Report) during the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The fund bought 13,880 shares of the company's stock, valued at approximately $3,274,000. Nebius Group makes up approximately 1.1% of Western Financial Corp CA's investment portfolio, making the stock its 21st largest holding.

Other large investors have also made changes to their positions in the company. Allied Private Wealth LLC bought a new position in Nebius Group during the 2nd quarter valued at about $25,000. Sarver Vrooman Wealth Advisors acquired a new position in Nebius Group in the second quarter valued at about $28,000. GoalVest Advisory LLC bought a new stake in Nebius Group during the second quarter worth about $28,000. Wealth Enhancement Trust Services Inc. grew its stake in Nebius Group by 227.1% during the third quarter. Wealth Enhancement Trust Services Inc. now owns 157 shares of the company's stock worth $37,000 after buying an additional 109 shares during the last quarter. Finally, Eastern Bank increased its holdings in shares of Nebius Group by 66.3% during the third quarter. Eastern Bank now owns 158 shares of the company's stock worth $37,000 after buying an additional 63 shares in the last quarter. Institutional investors own 21.90% of the company's stock.

More Nebius Group News

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

• Positive Sentiment: Nebius has raised prices for NVIDIA B300, B200, H200 and H100 virtual machines, suggesting demand for scarce AI-computing capacity may support stronger revenue and margins over time. However, the benefit has not yet been clearly reflected in earnings. Nebius Has Pricing Power. Its Earnings Don’t Show It Yet.
• Positive Sentiment: Rosenblatt’s Buy rating and generally favorable analyst coverage provide a counterpoint to the selloff. Nebius also recently reported sharply higher revenue and better-than-expected quarterly EPS, supporting the long-term AI infrastructure growth story. AI Infrastructure Stocks Decline
• Neutral Sentiment: A failed technical breakout has weakened momentum, while the broader AI-cloud group is under pressure. Rising bond yields and renewed concerns about the cost of financing GPUs and data centers are reducing investor risk appetite. Nebius Slides as Failed Breakout Tests Risk Appetite
• Negative Sentiment: Investors are questioning whether Nebius’s valuation is justified by current revenue and earnings. The stock’s substantial multiyear advance has embedded high expectations, while the company remains loss-making on a reported EPS basis and is expected to post a full-year loss. Nebius Stock Seems Overvalued
• Negative Sentiment: CRO Marc Boroditsky sold 7,000 shares worth approximately $1.48 million under a Rule 10b5-1 plan, adding to an insider-selling overhang. Recent reports indicate numerous insider sales and no purchases, although the planned nature of the transaction limits its significance. Nebius CRO Stock Sale
• Negative Sentiment: Concerns about heavy capital spending, cash-flow pressure and potential dilution following Nebius’s large convertible-note financing are weighing on the stock. Investors are also watching whether the company can convert AI demand into profitable data-center growth. Nebius Stock Selloff and Gartner Warning

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on the stock. DA Davidson reiterated a "neutral" rating and issued a $175.00 target price on shares of Nebius Group in a research note on Thursday, August 13th. Citigroup lifted their price objective on Nebius Group from $278.00 to $324.00 and gave the company a "buy" rating in a research report on Friday, August 14th. Northland Securities increased their target price on Nebius Group from $248.00 to $410.00 and gave the stock an "outperform" rating in a report on Monday, July 20th. BNP Paribas Exane upgraded Nebius Group from a "neutral" rating to an "outperform" rating and increased their target price for the stock from $260.00 to $399.00 in a report on Thursday, September 24th. Finally, Rothschild & Co Redburn initiated coverage on Nebius Group in a research note on Monday, September 21st. They issued a "sell" rating and a $84.00 target price for the company. Three equities research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $245.69.

Insider Activity

In other Nebius Group news, CFO Sanchez Maria Del Dado Alonso sold 470 shares of the business's stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $196.00, for a total transaction of $92,120.00. Following the completion of the sale, the chief financial officer directly owned 12,202 shares of the company's stock, valued at approximately $2,391,592. The trade was a 3.71% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CRO Marc Boroditsky sold 7,000 shares of Nebius Group stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $211.23, for a total transaction of $1,478,610.00. Following the sale, the executive owned 7,000 shares of the company's stock, valued at approximately $1,478,610. This represents a 50.00% decrease in their position. 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 sold 151,230 shares of company stock worth $36,821,606.

Nebius Group Price Performance

Shares of Nebius Group stock traded down $20.85 during midday trading on Wednesday, reaching $186.01. The company had a trading volume of 33,139,472 shares, compared to its average volume of 17,689,902. The stock has a fifty day simple moving average of $224.71 and a 200 day simple moving average of $205.77. Nebius Group N.V. has a 1-year low of $73.52 and a 1-year high of $299.86. The company has a current ratio of 4.03, a quick ratio of 4.03 and a debt-to-equity ratio of 0.82. The company has a market capitalization of $47.06 billion, a price-to-earnings ratio of -6,198.27 and a beta of 4.18.

Nebius Group (NASDAQ:NBIS - Get Free Report) last announced its quarterly earnings data 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 firm had revenue of $582.30 million for the quarter, compared to analyst estimates of $567.91 million. During the same period last year, the company earned $2.38 EPS. The business's quarterly revenue was up 454% compared to the same quarter last year. As a group, equities research analysts forecast that Nebius Group N.V. will post -3.48 earnings per share for the current year.

About Nebius Group

Nebius Group N.V. is a technology company focused on artificial intelligence infrastructure and related services. Through its Nebius AI business, the company provides cloud-based computing infrastructure designed for developing, training and deploying machine-learning and generative AI applications, including access to accelerated computing, data storage, networking and managed cloud services.

The company also develops tools and services intended to support AI developers and businesses, including data and machine-learning infrastructure.

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