Nebius Group (NASDAQ:NBIS) Shares Up 2.1% - What's Next?

Key Points

• Nebius Group shares rose 2.1% on Thursday, with trading volume jumping well above average as the stock hit an intraday high of $298.80 before last trading at $286.69.
• The company is being lifted by optimism around its AI cloud expansion, including a reported $9.3 billion cash reserve, the completion of its Eigen AI acquisition, and new UK data centers that expand its infrastructure footprint.
• Investors are also watching a major catalyst: Nebius will join the Nasdaq-100 on June 22, which could trigger index-fund buying and boost institutional visibility, even as some analysts warn the stock may be richly valued after its run-up.

Nebius Group N.V. (NASDAQ:NBIS - Get Free Report)'s stock price rose 2.1% on Thursday . The stock traded as high as $298.80 and last traded at $286.69. 36,383,883 shares traded hands during trading, an increase of 124% from the average session volume of 16,278,773 shares. The stock had previously closed at $280.91.

Key Headlines Impacting Nebius Group

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

• Positive Sentiment: Nebius is benefiting from strong momentum around its AI cloud buildout, with reports highlighting a $9.3 billion cash reserve that could help it expand capacity quickly as demand continues to outstrip supply. Nebius Amasses $9.3B Cash Reserve: Can It Accelerate AI Buildout?
• Positive Sentiment: The stock is also getting a boost from its upcoming addition to the Nasdaq-100 on June 22, which could drive index-fund buying and increase visibility with institutional investors. Dear Nebius Stock Fans, Mark Your Calendars for June 22
• Positive Sentiment: Recent coverage notes Nebius has closed its Eigen AI acquisition and opened new UK data centers, steps that support its AI platform expansion and deepen its infrastructure footprint. Nebius Group (NBIS) Closes Eigen AI Deal And Opens Three New UK Data Centers
• Neutral Sentiment: Analysts and commentators remain divided on valuation: some see room for much higher upside if revenue growth continues, while others warn the stock is approaching fully priced territory after a sharp run-up. Nebius: Time To Sell
• Negative Sentiment: There are still execution risks tied to aggressive data-center expansion, potential GPU pricing pressure, and broader concerns that AI infrastructure spending could eventually normalize. Legendary Short Seller Jim Chanos Issues Dire Prediction

Analysts Set New Price Targets

Several equities research analysts recently commented on the stock. Weiss Ratings upgraded shares of Nebius Group from a "hold (c-)" rating to a "hold (c)" rating in a research note on Wednesday, May 20th. Bank of America upped their price objective on shares of Nebius Group from $240.00 to $280.00 and gave the company a "buy" rating in a research note on Monday, June 8th. Wall Street Zen raised Nebius Group from a "strong sell" rating to a "sell" rating in a report on Saturday, May 16th. BWS Financial lifted their target price on Nebius Group from $130.00 to $200.00 and gave the stock a "buy" rating in a research report on Monday, March 16th. Finally, Citizens Jmp boosted their target price on Nebius Group from $175.00 to $270.00 and gave the company a "market outperform" rating in a report on Thursday, May 14th. Nine equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $203.25.

Nebius Group Stock Performance

The stock has a market cap of $72.54 billion, a PE ratio of 92.48 and a beta of 4.03. The firm's 50-day moving average is $193.98 and its 200 day moving average is $131.60. The company has a debt-to-equity ratio of 1.16, a quick ratio of 8.33 and a current ratio of 8.33.

Nebius Group (NASDAQ:NBIS - Get Free Report) last issued its quarterly earnings data on Thursday, May 14th. The company reported ($0.23) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.77) by $0.54. Nebius Group had a net margin of 95.27% and a negative return on equity of 9.11%. The company had revenue of $399.00 million for the quarter, compared to the consensus estimate of $375.13 million. Nebius Group's revenue was up 684.0% compared to the same quarter last year. As a group, research analysts anticipate that Nebius Group N.V. will post -1.91 EPS for the current year.

Insiders Place Their Bets

In related news, Director Elena Bunina sold 10,894 shares of Nebius Group stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $206.87, for a total value of $2,253,641.78. Following the transaction, the director directly owned 10,772 shares in the company, valued at $2,228,403.64. This trade represents a 50.28% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Marc Boroditsky sold 10,776 shares of Nebius Group stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $276.20, for a total transaction of $2,976,331.20. Following the completion of the transaction, the executive owned 26,886 shares in the company, valued at approximately $7,425,913.20. This trade represents a 28.61% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 700,710 shares of company stock valued at $132,153,501.

Hedge Funds Weigh In On Nebius Group

A number of large investors have recently bought and sold shares of the company. Orbis Allan Gray Ltd boosted its holdings 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 valued at $976,681,000 after acquiring an additional 1,949,708 shares in the last quarter. Fred Alger Management LLC raised its holdings in Nebius Group by 33.4% during the third quarter. Fred Alger Management LLC now owns 10,132,279 shares of the company's stock worth $1,137,551,000 after purchasing an additional 2,536,832 shares in the last quarter. Jericho Capital Asset Management L.P. lifted its position in Nebius Group by 55.7% in the third quarter. Jericho Capital Asset Management L.P. now owns 4,607,497 shares of the company's stock valued at $517,284,000 after purchasing an additional 1,648,497 shares during the period. Morgan Stanley lifted its position in Nebius Group by 35.2% in the fourth quarter. Morgan Stanley now owns 3,704,659 shares of the company's stock valued at $310,099,000 after purchasing an additional 964,984 shares during the period. Finally, Clear Street Group Inc. boosted its holdings in Nebius Group by 95.0% in the 4th quarter. Clear Street Group Inc. now owns 3,511,656 shares of the company's stock valued at $293,943,000 after purchasing an additional 1,710,924 shares in the last quarter. Hedge funds and other institutional investors 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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