Nebius Group (NASDAQ:NBIS) Shares Down 5% - Here's What Happened

Key Points

• Nebius Group shares fell 5% to $210.06, with roughly 13.85 million shares traded—21% below average volume.
• Analyst sentiment remains positive overall, with a consensus “Moderate Buy” rating and an average price target of $245.69; BNP Paribas Exane raised its target to $399.
• The company beat quarterly expectations, reporting a loss of $0.12 per share versus the $0.67 expected and revenue of $582.3 million, up 454% year over year. However, insiders sold 166,616 shares worth approximately $39.75 million over the past 90 days.

Nebius Group N.V. (NASDAQ:NBIS - Get Free Report)'s stock price fell 5% during trading on Monday. The stock traded as low as $206.90 and last traded at $210.06. Approximately 13,850,693 shares were traded during trading, a decline of 21% from the average daily volume of 17,609,916 shares. The stock had previously closed at $221.07.

Wall Street Analysts Forecast Growth

NBIS has been the topic of several analyst reports. Wall Street Zen upgraded shares of Nebius Group from a "strong sell" rating to a "sell" rating in a report on Sunday, August 16th. Truist Financial upgraded Nebius Group to a "strong-buy" rating in a research report on Thursday, September 10th. BNP Paribas Exane raised Nebius Group from a "neutral" rating to an "outperform" rating and upped their price target for the company from $260.00 to $399.00 in a research note on Thursday, September 24th. Piper Sandler assumed coverage on shares of Nebius Group in a research report on Monday, August 3rd. They issued a "neutral" rating and a $224.00 price target on the stock. Finally, Freedom Capital raised shares of Nebius Group from a "hold" rating to a "strong-buy" rating in a research note on Monday, July 20th. Three research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Nebius Group currently has a consensus rating of "Moderate Buy" and an average target price of $245.69.

Nebius Group Stock Down 5.0%

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 firm's fifty day moving average price is $225.14 and its 200-day moving average price is $204.46. The company has a market cap of $53.15 billion, a price-to-earnings ratio of -6,999.67 and a beta of 4.18.

Nebius Group (NASDAQ:NBIS - Get Free Report) last issued its quarterly earnings data on Thursday, August 13th. The company reported ($0.12) EPS for the quarter, topping the consensus estimate of ($0.67) by $0.55. The business had revenue of $582.30 million for the quarter, compared to the consensus estimate of $567.91 million. Nebius Group had a negative return on equity of 6.03% and a net margin of 4.55%. The firm's revenue was up 454% compared to the same quarter last year. During the same quarter last year, the business posted $2.38 EPS. Sell-side analysts predict that Nebius Group N.V. will post -3.48 earnings per share for the current year.

Insider Buying and Selling

In other news, CEO Arkadiy Volozh sold 37,778 shares of Nebius Group stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $234.16, for a total transaction of $8,846,096.48. Following the transaction, the chief executive officer owned 785,236 shares in the company, valued at $183,870,861.76. The trade was a 4.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Andrey Korolenko sold 29,090 shares of the business's stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $234.16, for a total value of $6,811,714.40. Following the completion of the transaction, the insider owned 522,248 shares of the company's stock, valued at $122,289,591.68. This represents a 5.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 166,616 shares of company stock valued at $39,753,038.

Institutional Trading of Nebius Group

Hedge funds have recently bought and sold shares of the stock. Allied Private Wealth LLC bought a new stake in shares of Nebius Group in the 2nd quarter valued at about $25,000. SHP Wealth Management acquired a new stake in Nebius Group in the 4th quarter valued at about $26,000. Sound Income Strategies LLC lifted its stake in Nebius Group by 62.5% in the 1st quarter. Sound Income Strategies LLC now owns 260 shares of the company's stock valued at $27,000 after purchasing an additional 100 shares during the last quarter. Sarver Vrooman Wealth Advisors bought a new position in Nebius Group during the second quarter worth about $28,000. Finally, GoalVest Advisory LLC bought a new position in Nebius Group during the second quarter worth about $28,000. 21.90% of the stock is currently owned by institutional investors and hedge funds.

Nebius Group Company Profile

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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