Here at PropNotes, I focus on uncovering high-yield investment opportunities for individual investors.With a background in professional prop trading, my goal is to break down complex concepts into clear, actionable insights that help you achieve better returns.Follow me today and take control of your portfolio.Analyst’s Disclosure: I/we have a beneficial long position in the shares of NBIS either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opi ...

Nebius (NBIS), which provides artificial intelligence (AI) services and infrastructure to data centers, recently announced that it has been chosen by Israel to launch and manage the country's supercomputer system. Given this deal and other agreements that Nebius has made, it's clear that the company has top-notch technology, and the firm is well-positioned to benefit tremendously from the continued rapid growth of AI. Nonetheless, its valuation is rather high. And at a time when investors' enthusiasm for ...

Group 1: Company Overview - Nebius Group (NASDAQ:NBIS) is forecasting up to 1,600% revenue growth by the end of 2026, driven by surging demand for AI compute infrastructure, with projected annualized revenue run rate of $900 million to $1.1 billion for the end of 2025 and $7 billion to $9 billion by the end of 2026 [1] - The company has secured major contracts, including a multi-year deal with Microsoft valued at over $19 billion and a $3 billion partnership with Meta Platforms over five years [2] - Nebius is expanding its capacity from 220 megawatts (MW) to 800 MW and up to 1 gigawatt (GW) of connected power by the end of 2026, with contracted power reaching 2.5 GW [2] Group 2: Market Dynamics - The supply of the latest generation of AI chips remains sold out into 2026, with Nvidia's H200 chips seeing orders exceeding current stock, driven by explosive demand for AI training and inference [4] - Companies are forced to rent older-generation chips due to this scarcity, with increased utilization of two-generation-old GPUs and rising GPU instance prices reflecting the tight market [5] - Jensen Huang, CEO of Nvidia, highlighted rising spot prices for GPU rentals, indicating real demand from new AI startups and companies reallocating R&D budgets, which counters previous price declines [6] Group 3: Financial Implications - Rising spot prices directly benefit Nebius by enabling higher per-hour charges on its GPU rentals, boosting revenue and margins, with a stable baseline from its Microsoft and Meta contracts [8] - Analysts project a 15% to 25% short-term revenue uplift for Nebius, pushing growth over the next 12 months to 339% and potentially exceeding $4 billion in annualized run rate if prices hold [9] - Other companies like IREN and Cipher Mining are also benefiting from rising GPU spot prices, with projected revenue increases due to dynamic pricing and significant contracts [11][12]

Company Overview - Nebius Group (NASDAQ:NBIS) is forecasting up to 1,600% revenue growth by the end of 2026, driven by surging demand for AI compute infrastructure [2] - The company projects an annualized run rate in revenue of $900 million to $1.1 billion for the end of 2025 and $7 billion to $9 billion by the end of 2026 [2] Major Contracts - Nebius has secured a multi-year deal with Microsoft (NASDAQ:MSFT) valued at over $19 billion and a $3 billion partnership with Meta Platforms (NASDAQ:META) over five years [3][7] - The company is expanding capacity from 220 megawatts (MW) to 800 MW and up to 1 gigawatt (GW) of connected power by the end of 2026, with contracted power reaching 2.5 GW [3] Market Dynamics - The supply of the latest generation of AI chips remains sold out into 2026, creating challenges for companies to acquire new inventory promptly [5] - High-bandwidth memory, essential for AI chips, is constrained, with data centers projected to consume 70% of global production in 2026 [5] Pricing Trends - Companies are renting older-generation chips to bridge the gap, with increased utilization of two-generation-old GPUs [6] - Providers like Amazon's AWS have raised GPU instance prices by 15% in early 2026, reflecting the tight market [6] Revenue Impact - Rising GPU spot prices directly boost Nebius rental revenue and margins, with capacity sold out through 2026 [7]

Company Performance - Nebius Group NV (NASDAQ:NBIS) experienced a significant decline, falling 8.68% to close at $99.29, reflecting overall market pessimism due to geopolitical tensions triggered by President Trump [1][3] - The decline in Nebius's stock price was part of a broader market trend, with the tech-heavy Nasdaq index dropping by 2.39% [3] Geopolitical Impact - President Trump announced plans to impose 10% tariffs on goods from eight countries opposing his takeover of Greenland, prompting the EU to threaten retaliation with $108 billion in levies [2] Technological Developments - Nebius Group NV plans to deploy the NVIDIA Rubin platform through Nebius AI Cloud and Nebius Token Factory, aiming to enhance AI capabilities for its customers starting in the second half of the year [4] - As an NVIDIA Cloud Partner, Nebius will be among the first AI cloud providers to offer this platform across its full-stack infrastructure in the US and Europe [4] Market Outlook - Despite the current challenges, there is potential for Nebius as an investment, although some analysts believe other AI stocks may offer better returns with lower risk [6]

Nebius Group N.V. (NASDAQ:NBIS) is one of the AI Stocks Making Waves on Wall Street. On January 15, Morgan Stanley analyst Josh Baer initiated coverage on the stock with an “Equalweight” rating and a price target of $126. The analyst highlights AI infrastructure scale-up potential for NBS, urging investors to focus on long-term metrics for valuation instead of near-term earnings. Nebius is well-positioned to benefit from the build-out of AI infrastructure, said Baer, noting its potential to bring signifi ...

When I covered Nebius Group N.V. ( NBIS ) last time , I was quite confident that it was an easy "Strong Sell" because it seemed too expensive at $11+ billion market cap. At the moment, Nebius Group is worth more than $27I am a highly experienced Chief Financial Officer (CFO) with a strong background in the oilfield and real estate industries. With over a decade of experience in finance, I have led numerous complex due diligence efforts and M&A transactions, both domestically and internationally.In recent ye ...

Market Overview - The US equity market ended Q4 2025 positively, with the S&P 500 increasing by 2.7%, reflecting steady upward momentum supported by better-than-expected corporate earnings and the US Federal Reserve's interest rate easing stance [1] - The macroeconomic backdrop remained resilient, with improving clarity on trade policy providing additional support [1] - There was a notable divergence below the index level, particularly regarding AI investments, which faced skepticism due to bottlenecks and financing challenges [1] Fund Performance - The Alger Small Cap Focus Fund's Class A shares outperformed the Russell 2000 Growth Index in Q4 2025 [1] - The Utilities and Financials sectors contributed positively to the Fund's performance, while the Consumer Discretionary and Information Technology sectors detracted from it [1] Company Spotlight: Nebius Group N.V. - Nebius Group N.V. is a technology company focused on AI-driven cloud infrastructure, with a one-month return of 16.63% and a 52-week gain of 201.69% [2] - As of January 16, 2026, Nebius Group's stock closed at $108.73, with a market capitalization of $27.379 billion [2] - The company operates GPU compute capacity across Europe and is expanding into the U.S., positioning itself as a key player in the AI infrastructure market [3] - Despite facing short-term volatility due to a selloff in AI infrastructure stocks, Nebius continues to secure long-term agreements with major cloud service providers, enhancing revenue visibility [3]

Company Overview - Nebius Group N.V. (NBIS) specializes in building AI datacenters and renting out capacity to large hyperscaler customers [1] - The company currently has an annualized recurring revenue of approximately $584.4 million [1] - Nebius is projecting an increase in annual recurring revenue to between $6 billion and $9 billion [1] Industry Context - The demand for AI datacenters is growing as large hyperscaler customers seek to enhance their capabilities [1] - The company's focus on AI infrastructure positions it well within the expanding technology sector [1]

Core Viewpoint - 2026 is anticipated to be a significant year for certain stocks, particularly Nvidia, Nebius Group, and The Trade Desk, which are expected to show strong performance as fourth-quarter results from 2025 are released [1][2]. Nvidia - Nvidia is the largest company by market cap, driven by its dominant position in graphics processing units (GPUs) for artificial intelligence (AI) computing [3]. - The company has reported being sold out of cloud GPUs, indicating sustained demand for its products [4]. - Nvidia's fiscal fourth quarter 2026 earnings are set to be reported on February 25, with expectations that its fiscal 2027 guidance will exceed current market expectations [6]. Nebius Group - Nebius Group is gaining attention for its services that connect high-end Nvidia GPUs to computing clusters, experiencing significant demand [7]. - The company reported a remarkable 355% year-over-year growth in the third quarter, with an annual run rate (ARR) of $551 million [8]. - Nebius has dramatically increased its 2026 revenue projection, expecting an ARR of $7 billion to $9 billion by the end of 2026, which could lead to rapid stock appreciation if achieved [8][10]. The Trade Desk - The Trade Desk faced challenges in 2025, being one of the worst performers in the S&P 500 due to issues with its AI-powered ad buying platform and lack of political advertising revenue [11]. - In 2026, the company is expected to resolve its platform issues and avoid difficult year-over-year comparisons, potentially leading to a significant stock increase [12]. - Currently trading at less than 18 times forward earnings, The Trade Desk presents a value opportunity compared to the S&P 500 average of 22.4 times [12][14].