Nebius Group's (NBIS) Neutral Rating Reiterated at DA Davidson

Key Points

• DA Davidson reiterated its “neutral” rating on Nebius Group and set a $175 price target, implying 32.48% downside from the previous close. The broader analyst consensus remains “Moderate Buy,” with an average target of $222.71.
• Nebius shares opened at $259.20 and have traded between $62.01 and $299.86 over the past year. The company’s latest quarterly results beat estimates, with revenue of $399 million—up 684% year over year—and a smaller-than-expected per-share loss.
• Recent insider selling totaled 140,810 shares worth approximately $33.5 million, while institutional ownership stands at 21.9%. Analysts remain divided, citing Nebius’ strong AI-driven growth alongside elevated valuation and execution risks.

Nebius Group (NASDAQ:NBIS - Get Free Report)'s stock had its "neutral" rating reissued by analysts at DA Davidson in a report released on Thursday,Benzinga reports. They presently have a $175.00 price objective on the stock. DA Davidson's target price suggests a potential downside of 32.48% from the company's previous close.

A number of other research analysts have also recently weighed in on the stock. Wall Street Zen cut shares of Nebius Group from a "sell" rating to a "strong sell" rating in a research note on Saturday, August 8th. Morgan Stanley raised their price target on Nebius Group from $126.00 to $144.00 and gave the company an "equal weight" rating in a report on Thursday, May 14th. Northland Securities upped their price objective on Nebius Group from $248.00 to $410.00 and gave the stock an "outperform" rating in a research note on Monday, July 20th. Freedom Capital upgraded Nebius Group from a "hold" rating to a "strong-buy" rating in a research report on Monday, July 20th. Finally, Robert W. Baird lifted their target price on Nebius Group from $250.00 to $340.00 and gave the company an "outperform" rating in a research note on Thursday. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, Nebius Group presently has a consensus rating of "Moderate Buy" and a consensus target price of $222.71.

Nebius Group Price Performance

NASDAQ NBIS opened at $259.20 on Thursday. Nebius Group has a 12 month low of $62.01 and a 12 month high of $299.86. The stock has a market cap of $65.58 billion, a price-to-earnings ratio of 83.61 and a beta of 4.23. The company's 50 day moving average is $221.63 and its two-hundred day moving average is $166.23. The company has a current ratio of 8.33, a quick ratio of 8.33 and a debt-to-equity ratio of 1.16.

Nebius Group (NASDAQ:NBIS - Get Free Report) last issued its quarterly earnings results on Thursday, May 14th. The company reported ($0.23) earnings per share for the quarter, beating the consensus estimate of ($0.81) by $0.58. The business had revenue of $399.00 million for the quarter, compared to the consensus estimate of $375.13 million. Nebius Group had a net margin of 95.27% and a negative return on equity of 9.11%. The business's quarterly revenue was up 684.0% compared to the same quarter last year. As a group, research analysts anticipate that Nebius Group will post -3.91 earnings per share for the current year.

Insider Activity

In other news, CTO Danila Shtan sold 16,937 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 $3,987,816.65. Following the completion of the transaction, the chief technology officer owned 274,763 shares in the company, valued at $64,692,948.35. This trade represents a 5.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CRO Marc Boroditsky sold 10,776 shares of Nebius Group stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $276.20, for a total value of $2,976,331.20. Following the completion of the sale, the executive directly owned 26,886 shares in the company, valued at approximately $7,425,913.20. The trade was a 28.61% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 140,810 shares of company stock valued at $33,548,588.

Institutional Investors Weigh In On Nebius Group

Several large investors have recently added to or reduced their stakes in the stock. Royal Bank of Canada bought a new stake in shares of Nebius Group in the first quarter valued at about $1,628,000. Millennium Management LLC purchased a new position in Nebius Group during the 1st quarter valued at about $11,563,000. NewEdge Advisors LLC purchased a new position in Nebius Group during the 1st quarter valued at about $40,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC bought a new stake in shares of Nebius Group in the 1st quarter valued at about $9,084,000. Finally, Daiwa Securities Group Inc. bought a new stake in shares of Nebius Group in the 2nd quarter valued at about $68,000. 21.90% of the stock is owned by hedge funds and other institutional investors.

Nebius Group News Summary

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

• Positive Sentiment: Exceptional Q2 growth exceeded revenue expectations. Revenue reached $582.3 million, up 454% year over year and above consensus estimates. The core AI cloud business grew more than 500%, reflecting strong demand, larger contracts and higher pricing for computing capacity. Reuters report on Nebius revenue growth
• Positive Sentiment: Profitability and backlog indicators strengthened the bull case. Management highlighted $236 million of positive adjusted EBITDA, approximately $3 billion in annualized recurring revenue, expanding contracted power guidance to 5 gigawatts and roughly $40 million of annual contract value per megawatt. These figures suggest Nebius is converting its AI infrastructure backlog into revenue and cash flow. Seeking Alpha Q2 analysis
• Positive Sentiment: Short-covering and AI-sector momentum amplified the move. Michael Burry disclosed a short position near $212 per share, but the stock moved above $250 after the earnings release, potentially pressuring short sellers to cover. Renewed enthusiasm for AI data-center and neocloud stocks also provided a favorable sector backdrop. Fool report on Michael Burry’s Nebius short
• Neutral Sentiment: Analyst and technical signals are mixed. The shares reclaimed their 50-day moving average and technical analysts identified upside potential, but the median recent analyst target is about $250, implying limited upside after the rally. Reports also differ on the precise quarterly EPS result, although Nebius remained loss-making.
• Negative Sentiment: Full-year revenue guidance may disappoint. Nebius forecast 2026 revenue of $3.0 billion to $3.4 billion, with the top end only matching consensus, raising concerns that rapid expansion may already be reflected in the valuation.
• Negative Sentiment: Execution, valuation and insider-selling risks remain. Analysts have questioned delays at the Vineland data-center project and the ability to deliver a large capital-expansion plan on schedule. Nebius trades at elevated valuation multiples, while reported insider activity shows repeated selling and no purchases in the past six months. These factors likely contributed to the overnight retreat after the earnings-driven surge.

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.

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