Nebius Group (NASDAQ:NBIS) Shares Gap Up on Analyst Upgrade

Key Points

• BNP Paribas Exane upgraded Nebius Group to “outperform” from “neutral” and set a $399 price target, sending shares higher at the open. The consensus analyst view is “Moderate Buy,” with an average target of $241.80.
• Nebius reported 454% year-over-year revenue growth to $582.3 million and beat quarterly EPS expectations, supporting optimism about its AI-cloud expansion and pricing power.
• Despite the bullish outlook, risks include the company’s high valuation, negative expected earnings, significant capital needs and competition. Insiders have sold roughly $43.6 million of stock over the past 90 days, while some analysts maintain sell or hold ratings.

Shares of Nebius Group N.V. (NASDAQ:NBIS - Get Free Report) gapped up prior to trading on Thursday after BNP Paribas Exane upgraded the stock from a neutral rating to an outperform rating. The stock had previously closed at $226.61, but opened at $231.84. BNP Paribas Exane now has a $399.00 price target on the stock. Nebius Group shares last traded at $239.0030, with a volume of 5,267,415 shares traded.

Several other analysts have also commented on NBIS. Northland Securities lifted their price objective on Nebius Group from $248.00 to $410.00 and gave the stock an "outperform" rating in a report on Monday, July 20th. Piper Sandler began coverage on Nebius Group in a research report on Monday, August 3rd. They issued a "neutral" rating and a $224.00 target price on the stock. Weiss Ratings downgraded Nebius Group from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Wednesday, September 9th. Zacks Research lowered shares of Nebius Group from a "strong-buy" rating to a "hold" rating in a research report on Friday, July 31st. Finally, Robert W. Baird increased their price objective on shares of Nebius Group from $250.00 to $340.00 and gave the stock an "outperform" rating in a research note on Thursday, August 13th. Two equities research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating, five have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $241.80.

Insider Activity at Nebius Group

In other Nebius Group news, CRO Marc Boroditsky sold 7,000 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $209.08, for a total transaction of $1,463,560.00. Following the sale, the executive owned 5,000 shares in the company, valued at approximately $1,045,400. This trade represents a 58.33% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director John Wilson Iv Boynton sold 5,296 shares of the company's stock in a transaction that occurred on Friday, August 14th. The stock was sold at an average price of $270.99, for a total transaction of $1,435,163.04. Following the completion of the transaction, the director owned 415,844 shares of the company's stock, valued at approximately $112,689,565.56. The trade was a 1.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 182,587 shares of company stock worth $43,618,456 in the last 90 days.

Key Headlines Impacting Nebius Group

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

• Positive Sentiment: BNP Paribas Exane upgraded Nebius to “outperform” and set a $399 price target, implying substantial upside from recent levels. The upgrade reinforces the bullish case for the company’s AI-cloud expansion. BNP Paribas Exane upgrade
• Positive Sentiment: Nebius is reportedly raising GPU and inference pricing by roughly 17% to 21%, suggesting strong demand and pricing power. Recent coverage also cited customer-funded capital expenditures, contracts generating approximately $20 million to $25 million in annual contract value per megawatt, and project payback periods near 22 months. Nebius 2027 setup
• Positive Sentiment: The company’s 454% year-over-year quarterly revenue growth to $582.3 million and inclusion in the FTSE All-World Index support the long-term growth narrative and could increase institutional visibility. FTSE index inclusion
• Neutral Sentiment: Some analysts and commentators remain optimistic that Nebius can compound significantly through 2028, but acknowledge that the shares already reflect an expensive valuation. Higher Treasury yields make it more difficult for speculative growth stocks to attract capital.
• Negative Sentiment: Bearish pressure intensified after Rothschild Redburn initiated Nebius with a “sell” rating, warning that falling GPU-rental prices, competition from hyperscalers and expensive financing could compress returns. Rothschild Redburn sell rating
• Negative Sentiment: Investor Michael Burry disclosed expanding short positions in NBIS and other AI-related stocks, questioning the durability of the semiconductor and AI boom. Additional concerns include negative free cash flow, substantial capital requirements, customer concentration and the risk that Nebius’s exceptionally high valuation fails to match future earnings. Michael Burry short positions

Institutional Trading of Nebius Group

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Allied Private Wealth LLC bought a new position in Nebius Group in the 2nd quarter worth approximately $25,000. Sarver Vrooman Wealth Advisors purchased a new position in Nebius Group during the second quarter valued at $28,000. GoalVest Advisory LLC purchased a new position in Nebius Group during the second quarter valued at $28,000. N.E.W. Advisory Services LLC increased its holdings in Nebius Group by 76.0% in the 2nd quarter. N.E.W. Advisory Services LLC now owns 176 shares of the company's stock valued at $49,000 after acquiring an additional 76 shares during the last quarter. Finally, Continuum Advisory LLC bought a new stake in Nebius Group in the 2nd quarter valued at $52,000. Institutional investors own 21.90% of the company's stock.

Nebius Group Stock Performance

The firm has a market cap of $60.69 billion, a PE ratio of -8,019.59 and a beta of 4.23. 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 50 day simple moving average is $213.92 and its 200 day simple moving average is $193.97.

Nebius Group (NASDAQ:NBIS - Get Free Report) last issued its earnings results on Thursday, August 13th. The company reported ($0.12) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.67) by $0.55. Nebius Group had a negative return on equity of 6.03% and a net margin of 4.55%.The firm had revenue of $582.30 million for the quarter, compared to analysts' expectations of $567.91 million. During the same period in the previous year, the firm posted $2.38 earnings per share. The business's revenue was up 454% compared to the same quarter last year. On average, research analysts forecast that Nebius Group N.V. will post -3.76 EPS for the current fiscal year.

About Nebius Group

Nebius Group N.V. NASDAQ: NBIS is a technology company focused on artificial intelligence infrastructure and related services. Its principal business is Nebius AI, a cloud platform that provides computing, storage, networking and managed infrastructure designed to support the development and deployment of AI applications, including access to accelerated computing resources.

The company also operates or develops businesses in adjacent technology markets. These include Toloka, which provides data and evaluation services for machine-learning systems; TripleTen, an online education platform offering technology-focused training; and Avride, a developer of autonomous driving and delivery technologies.

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