Nebius Group (NASDAQ:NBIS) Shares Up 6.2% - Still a Buy?

Key Points

• Nebius shares rose 6.2% to $225.74 on elevated trading volume, supported by strong buying signals and a broader rally in AI infrastructure stocks.
• The company is expanding its AI cloud infrastructure with roughly $775 million in senior secured financing ahead of its August 12 earnings report. Its latest quarter showed revenue of $399 million, up 684% year over year and above analyst expectations.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating, although Piper Sandler issued a Neutral rating with a $224 target. Heavy insider selling and the stock’s elevated valuation and volatility remain key risks.

Nebius Group N.V. (NASDAQ:NBIS - Get Free Report)'s share price traded up 6.2% on Tuesday . The company traded as high as $229.47 and last traded at $225.74. Approximately 21,128,726 shares were traded during trading, an increase of 23% from the average daily volume of 17,236,016 shares. The stock had previously closed at $212.58.

More Nebius Group News

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

• Positive Sentiment: A significant “Power Inflow” alert indicated strong institutional and retail buying activity, a technical signal that attracted momentum-focused traders. Nebius Shares Rise ~6% After Key Trading Signal
• Positive Sentiment: AI infrastructure stocks rallied broadly after strong Big Tech results and continued large capital-spending plans. This improved sentiment toward Nebius’s AI cloud expansion and helped lift the broader neocloud group. CoreWeave, Nebius shares rise: What's going on today?
• Positive Sentiment: Piper Sandler’s initiation of coverage highlighted Nebius as a major participant in the “megawatt” AI infrastructure race, alongside a bullish view of rival CoreWeave. Nebius’s vertically integrated infrastructure, NVIDIA relationship, rapid revenue growth, and major customer agreements remain key investment attractions. Piper Sandler names CoreWeave top pick in ’megawatt’ AI infrastructure race
• Positive Sentiment: Investors are anticipating Nebius’s August 12 earnings report after the company secured approximately $775 million in senior secured financing. The facility is intended to fund GPU and AI cloud expansion and is backed by deployed infrastructure and contracted cash flows. Nebius Group shares jump as investors weigh fresh financing, upcoming earnings, and stronger AI infrastructure demand
• Neutral Sentiment: Piper Sandler began coverage with a Neutral rating and a $224 price target, suggesting limited near-term upside from the cited trading level despite favorable industry growth. Piper Sandler coverage of Nebius
• Negative Sentiment: Reported insider activity shows executives made no open-market purchases and completed numerous sales over the past six months. While some sales may reflect scheduled transactions or compensation, the pattern can weigh on investor confidence. Nebius insider trading activity

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Citigroup raised their price objective on Nebius Group from $169.00 to $287.00 and gave the company a "buy" rating in a research report on Friday, May 15th. Bank of America increased their target price on Nebius Group from $240.00 to $280.00 and gave the company a "buy" rating in a research note on Monday, June 8th. Northland Securities raised their target price on Nebius Group from $248.00 to $410.00 and gave the company an "outperform" rating in a report on Monday, July 20th. Piper Sandler started coverage on Nebius Group in a research report on Monday. They set a "neutral" rating and a $224.00 price target on the stock. Finally, Zacks Research downgraded shares of Nebius Group from a "strong-buy" rating to a "hold" rating in a research report on Friday. Two investment analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $222.29.

Nebius Group Stock Performance

The firm has a market capitalization of $57.12 billion, a PE ratio of 72.82 and a beta of 4.23. The company has a debt-to-equity ratio of 1.16, a current ratio of 8.33 and a quick ratio of 8.33. The stock has a 50-day moving average price of $225.46 and a 200-day moving average price of $161.01.

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 for the quarter, beating analysts' consensus estimates of ($0.81) by $0.58. Nebius Group had a negative return on equity of 9.11% and a net margin of 95.27%.The firm had revenue of $399.00 million during the quarter, compared to analyst estimates of $375.13 million. The business's revenue for the quarter was up 684.0% on a year-over-year basis. On average, research analysts expect that Nebius Group N.V. will post -1.91 EPS for the current fiscal year.

Insider Buying and Selling at Nebius Group

In other Nebius Group news, insider Andrey Korolenko sold 33,871 shares of the stock in a transaction 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 transaction, the insider directly owned 551,338 shares in the company, valued at $129,812,532.10. This represents a 5.79% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Arkadiy Volozh sold 46,627 shares of the firm's stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $235.45, for a total transaction of $10,978,327.15. Following the transaction, the chief executive officer directly owned 821,662 shares of the company's stock, valued at approximately $193,460,317.90. This represents a 5.37% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 662,523 shares of company stock valued at $139,422,230.

Hedge Funds Weigh In On Nebius Group

Several large investors have recently modified their holdings of the stock. Zurcher Kantonalbank Zurich Cantonalbank lifted its holdings in shares of Nebius Group by 34,371.3% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 93,762 shares of the company's stock valued at $7,848,000 after buying an additional 93,490 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. bought a new stake in shares of Nebius Group in the 4th quarter valued at approximately $24,756,000. Lombard Odier Asset Management Switzerland SA acquired a new position in Nebius Group in the first quarter worth approximately $1,087,000. Geode Capital Management LLC increased its holdings in Nebius Group by 1,095.7% in the fourth quarter. Geode Capital Management LLC now owns 2,046,799 shares of the company's stock worth $169,840,000 after buying an additional 1,875,612 shares during the last quarter. Finally, HB Wealth Management LLC bought a new position in Nebius Group during the first quarter valued at approximately $735,000. Institutional investors own 21.90% of the company's 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.

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