Nebius Group (NASDAQ:NBIS) Stock Price Down 13.3% on Analyst Downgrade

Key Points

• Nebius Group shares fell 13.3% to about $189.88 after Citigroup cut its price target from $287 to $278, though it maintained a Buy rating. Trading volume rose 52% above the average.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $221.64. Nebius also reported quarterly revenue of $399 million, up 684% year over year, and beat EPS expectations.
• Insiders have sold significant amounts of stock recently, including CEO Arkadiy Volozh’s $11.0 million sale; insiders sold 651,704 shares worth $137.4 million over the past 90 days. Institutional investors own 21.9% of the company.

Shares of Nebius Group N.V. (NASDAQ:NBIS - Get Free Report) dropped 13.3% during trading on Thursday after Citigroup lowered their price target on the stock from $287.00 to $278.00. Citigroup currently has a buy rating on the stock. Nebius Group traded as low as $189.17 and last traded at $189.88. Approximately 26,169,122 shares changed hands during mid-day trading, an increase of 52% from the average session volume of 17,270,732 shares. The stock had previously closed at $218.99.

A number of other equities research analysts also recently issued reports on the company. Citizens Jmp boosted their price target on Nebius Group from $175.00 to $270.00 and gave the company a "market outperform" rating in a research note on Thursday, May 14th. Wall Street Zen raised Nebius Group from a "strong sell" rating to a "sell" rating in a research note on Saturday, May 16th. Cantor Fitzgerald started coverage on shares of Nebius Group in a report on Thursday, April 9th. They issued an "overweight" rating and a $129.00 price target on the stock. Robert W. Baird initiated coverage on Nebius Group in a research report on Wednesday, July 22nd. They set an "outperform" rating and a $250.00 target price for the company. Finally, Wolfe Research began coverage on Nebius Group in a research report on Thursday, April 16th. They issued a "peer perform" rating for the company. Two 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 company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $221.64.

Insider Activity

In related news, CEO Arkadiy Volozh sold 46,627 shares of the firm's stock in a transaction dated 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 sale, the chief executive officer directly owned 821,662 shares of the company's stock, valued at $193,460,317.90. This trade represents a 5.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Sanchez Maria Del Dado Alonso sold 1,509 shares of the business's stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $276.20, for a total transaction of $416,785.80. Following the completion of the transaction, the chief financial officer owned 12,672 shares of the company's stock, valued at approximately $3,500,006.40. This represents a 10.64% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 651,704 shares of company stock valued at $137,422,230.

Trending Headlines about Nebius Group

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

• Positive Sentiment: Citigroup maintained a Buy rating while lowering its price target from $287 to $278. The revised target remains materially above the recent trading level, signaling continued confidence in Nebius’ AI-cloud growth prospects. Citigroup price target update
• Positive Sentiment: Brokerage coverage overall remains constructive, with Nebius receiving an average “Moderate Buy” recommendation. The company also appointed Lindsey Irvine as chief marketing officer to support its international expansion and go-to-market efforts. Nebius Moderate Buy rating
• Positive Sentiment: Recent coverage highlights Nebius’ positioning as a purpose-built AI infrastructure provider, supported by substantial funding and a long-term capacity agreement with Meta. This differentiates it from older data-center operators that must spend heavily to retrofit facilities for AI workloads. AI infrastructure comparison

Institutional Trading of Nebius Group

Hedge funds have recently made changes to their positions in the business. State Street Corp lifted its position in shares of Nebius Group by 2,391.3% during the 4th quarter. State Street Corp now owns 3,219,326 shares of the company's stock worth $269,474,000 after purchasing an additional 3,090,103 shares during the last quarter. Capital Research Global Investors acquired a new stake in shares of Nebius Group during the fourth quarter worth about $231,635,000. Jennison Associates LLC boosted its holdings in shares of Nebius Group by 134.3% in the second quarter. Jennison Associates LLC now owns 3,983,899 shares of the company's stock valued at $1,100,233,000 after acquiring an additional 2,283,676 shares during the period. Accel Leaders 3 Associates L.P. purchased a new stake in Nebius Group in the 4th quarter valued at $188,496,000. Finally, Qube Research & Technologies Ltd purchased a new stake in shares of Nebius Group in the third quarter valued at about $238,511,000. Institutional investors and hedge funds own 21.90% of the company's stock.

Nebius Group Stock Down 13.3%

The company has a debt-to-equity ratio of 1.16, a quick ratio of 8.33 and a current ratio of 8.33. The business has a 50-day simple moving average of $226.02 and a two-hundred day simple moving average of $162.70. The company has a market capitalization of $48.04 billion, a price-to-earnings ratio of 61.25 and a beta of 4.23.

Nebius Group (NASDAQ:NBIS - Get Free Report) last announced its quarterly earnings data on Thursday, May 14th. The company reported ($0.23) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.81) by $0.58. The company had revenue of $399.00 million for the quarter, compared to analysts' expectations of $375.13 million. Nebius Group had a net margin of 95.27% and a negative return on equity of 9.11%. Nebius Group's quarterly revenue was up 684.0% compared to the same quarter last year. As a group, equities analysts predict that Nebius Group N.V. will post -1.54 EPS for the current year.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source