Core Viewpoint - Nebius has secured a significant multiyear, multibillion-dollar contract with Microsoft, which is expected to drive substantial growth for the company in the AI infrastructure market [2][6][8]. Company Overview - Nebius Group specializes in providing full-stack AI cloud infrastructure, utilizing Nvidia GPUs for customers to train and deploy AI models [4]. - The company has experienced a remarkable stock price increase of 393% over the past year, reflecting strong demand for AI data center capacity [1]. Contract Details - The contract with Microsoft is valued at a minimum of $17.4 billion, with potential to increase to $19.4 billion if additional services are purchased [6][7]. - Nebius will supply dedicated GPU infrastructure capacity through a new data center in New Jersey over the next five years [6]. Market Potential - The cloud infrastructure-as-a-service (IaaS) market is projected to reach $580 billion by 2030, while the platform-as-a-service (PaaS) market is expected to generate $600 billion by the end of the decade [5]. - Nebius is positioned to address both markets with its AI solutions, indicating strong growth potential [5][6]. Financial Projections - Nebius reported trailing 12-month revenue of just under $250 million, with a 545% increase in revenue to $156 million in the first half of 2025 compared to the previous year [9]. - The company anticipates an annualized run-rate revenue of $1 billion by the end of the year [9]. - If the Microsoft deal revenue is evenly distributed, Nebius could generate approximately $4 billion annually from Microsoft alone over the next five years [12]. Growth Expectations - Analysts expect Nebius's revenue to grow significantly, with projections estimating a top line increase of nearly 5.5 times between 2025 and 2028 [13]. - If Nebius achieves a revenue of $3.1 billion by 2028 and secures an additional $4 billion from Microsoft, total annual revenue could reach $7.1 billion [13]. Market Capitalization - Should Nebius trade at 8.5 times sales in 2028, its market cap could potentially reach $60 billion, nearly tripling its current market cap [14]. - Microsoft’s existing backlog of $368 billion in contracted cloud capacity suggests further business opportunities for Nebius in the future [14][15].

Company Overview - Dutch cloud computing company Nebius has raised $3.75 million through stock and convertible note sales to enhance its operations [1][2] - The funds will be used to acquire additional compute power, secure strategic land plots, and expand its data center footprint [2] Business Strategy - Nebius aims to aggressively grow its core business in 2026 and beyond, focusing on scaling its global data center portfolio and expanding its customer base from AI startups to larger enterprises [3][4] - The company has entered a multi-year partnership with Microsoft, valued at $19.4 billion, to provide AI infrastructure from its new data center in Vineland, New Jersey [3][4] Market Position - Nebius's core AI cloud business is performing exceptionally well, with expectations to secure long-term contracts with leading AI labs and tech companies [4][5] - The company previously rebranded from Yandex and raised $700 million last year from investors, including Nvidia, to focus on cloud-computing services for AI operations [5] Industry Trends - The cloud, data storage, semiconductor manufacturing, and data center industries are experiencing revenue gains driven by increasing enterprise adoption of AI [6] - A report indicated that 90% of CFOs see very positive ROI from generative AI, a significant increase from 26.7% in March 2024, indicating strong demand for AI technologies [6][7] - Cloud infrastructure service revenues are projected to surpass $400 billion for the first time, with the market re-accelerating due to the AI boom [7]

Nebius Group (NASDAQ:NBIS) is one of the worst AI stocks to invest in according to financial media. On September 8, Nebius Group announced a multi-year, multi-billion-dollar agreement with Microsoft Corp. (NASDAQ:MSFT). The deal is valued at $17.4 billion over five years, with an option for Microsoft to acquire additional services that could bring the total contract value to ~$19.4 billion. Under the agreement, Nebius will provide Microsoft with dedicated AI infrastructure capacity from its new data cente ...

来源：环球市场播报 美股周四早盘，Nebius集团（NBIS）股价下跌1.4%，此前该公司宣布已完成37.5亿美元债务与股权发行 的定价，旨在为其人工智能基础设施扩张提供资金。此次发行包括27.5亿美元可转换优先票据和10亿美 元A类普通股公开发行。 所筹资金将用于支持数据中心扩建及算力采购，此前该集团已与微软（MSFT）达成174亿美元的人工 智能基础设施合作协议。 ...

Core Viewpoint - DA Davidson has raised the price target for Nebius (NBIS) to $125 from $75 while maintaining a Buy rating, driven by a significant contract with Microsoft worth $17.4 billion for GPU capacity for Azure [1]. Group 1 - The recent contract with Microsoft is a key factor in the valuation upside for Nebius, indicating strong growth potential in its core business [1]. - The Nebius Data Center Capacity model provides the underlying assumptions that support the optimistic outlook on the company's valuation [1].

AI stocks 2025: While tech giants like Nvidia and Palantir Technologies continue to make headlines in the booming artificial intelligence (AI) industry, a much smaller player has quietly outperformed them both in 2025 and by a wide margin.Nebius Group Stock Surges 136% in 2025, Beating Nvidia and PalantirNebius Group (NASDAQ: NBIS), a Dutch company focused on AI-driven data centers, has seen its stock soar 136% so far this year, as per a report. That’s well ahead of Nvidia’s 24% gain and Palantir’s 102% ris ...

Core Insights - Nebius Group's stock surged 49.42% to close at $95.72 on September 9th, driven by extraordinary trading volume and investor interest [1][2] - The catalyst for this surge was a multi-year agreement with Microsoft valued at $17.4 billion, which is a transformative event for Nebius [3][4] - This contract not only exceeds Nebius's market capitalization of approximately $15.1 billion but also significantly surpasses its 2025 annualized run-rate guidance of $900 million to $1.1 billion [6] Financial Impact - The Microsoft agreement includes a $2 billion option for additional services, potentially raising the total value to $19.4 billion [4] - The partnership extends through 2031, providing Nebius with a stable revenue stream for nearly a decade [5] - Nebius plans to raise $3 billion through a public sale of Class A shares and a private placement of convertible senior notes to support the expansion required for the contract [11][12] Strategic Importance - Securing a contract of this magnitude from Microsoft serves as a significant endorsement of Nebius's full-stack platform, which combines proprietary software and in-house designed hardware [8] - The deal positions Nebius among the top independent infrastructure providers in the AI sector, marking a crucial shift in the AI supply chain [9] - Nebius's established relationship with NVIDIA adds technical credibility, likely influencing Microsoft's decision [10] Future Outlook - The investment thesis for Nebius has shifted from high potential to proven performance capabilities recognized by a major technology firm [14] - The focus for investors will now be on the execution of the New Jersey data center buildout and the deployment of capacity for Microsoft [15] - Analysts have raised price targets for Nebius, with BWS Financial setting a target of $130 following the news [15][16]

Nvidia recently predicted that companies' AI infrastructure spending may reach as much as $4 trillion by the end of the decade, so it's clear the growth opportunity for Nebius is far from over. Of course, the company faces competition from major cloud service providers such as Amazon 's Amazon Web Services as well as younger AI-focused players like CoreWeave . This represents a risk, but if demand continues as expected and Nebius attracts major customers like Microsoft, the company could generate significan ...

Core Insights - Nebius Group has raised approximately $3.75 billion through the sale of convertible bonds and stock, with a significant contract signed with Microsoft related to cloud AI computing resources [1] - The company increased its convertible bond issuance from an initial plan of $2 billion to $2.75 billion, alongside selling about $1 billion in new shares priced at $92.50 each [1] - Nebius's stock price has surged 237% year-to-date, closing at $93.39, with a single-day increase of nearly 50% [2][3] Financial Details - The convertible bonds were issued in two tranches, each raising about $1.375 billion, with maturities in 2030 (1% interest) and 2032 (2.75% interest) [1] - The conversion price for these bonds is set at $138.75 per share, reflecting a 50% premium over the stock sale price, indicating strong market demand for the company's financial instruments [1] Strategic Partnerships - The partnership with Microsoft, valued at nearly $20 billion, aims to secure AI cloud computing capabilities from Nebius, expected to generate $17.4 billion to $19.4 billion in revenue by 2031 [3] - Microsoft’s choice of Nebius is attributed to its rapid delivery capabilities, extensive AI server clusters, and alignment with NVIDIA's high-performance AI GPU roadmap [3][4] Market Positioning - Nebius is positioned as a leader in the "AI dedicated cloud" sector, focusing on faster delivery and optimized training/inference stacks for large model developers and enterprises [4] - The company operates large-scale AI server clusters in both the EU and the US, including significant data centers in Finland and upcoming facilities in New Jersey, enhancing Microsoft's capacity in North America and Western Europe [5][6]

Group 1 - Nebius Group N.V. has priced a $1 billion offering of Class A ordinary shares at $92.50 per share, with a closing date expected on September 15, and underwriters have a 30-day option to purchase an additional $150 million of stock [1] - The company also priced $2.75 billion in convertible senior notes, with maturities in 2030 and 2032, aiming to raise nearly $3.7 billion in total proceeds [1][2] - The debt issuance includes $1.375 billion of 1.00% notes due 2030 and $1.375 billion of 2.75% notes due 2032, with an option for purchasers to buy up to $412.5 million more in combined notes, indicating strong demand [3] Group 2 - The funds raised will be used to expand data center capacity, secure land with reliable power access, acquire more compute hardware, and for general corporate purposes [2] - The recent financing follows a significant rally in Nebius shares after announcing a $17.4 billion contract with Microsoft to supply GPU infrastructure capacity over five years, which could increase to $19.4 billion with options [3][4] - This agreement is expected to generate cash flow to support capital expenditures, positioning Nebius as a critical infrastructure partner for large-scale AI projects and enhancing investor confidence in its long-term growth [4] Group 3 - As of the latest check, Nebius shares were trading higher by 2.01% to $95.27 in premarket [5]