Core Insights - Nvidia has exited its position in SoundHound AI and taken a stake in Nebius Group, a data center stock [2] - Nebius is playing a critical role in the AI revolution and its current valuation appears reasonable [3] Company Background - Nebius was spun off from Yandex, a Russian internet conglomerate, following sanctions imposed by the U.S. and E.U. after Russia's invasion of Ukraine [4] - Nebius raised $700 million in an equity financing round shortly after its Nasdaq debut, with Nvidia participating in this round [5] Strategic Developments - Nebius is investing $1 billion in AI infrastructure across Finland and France, constructing data centers equipped with Nvidia's Hopper and Blackwell GPUs [7] - The company is also expanding its presence in the U.S. with a new data center in Kansas City featuring more Blackwell GPUs [7] Market Position and Valuation - Nebius expects its annual recurring revenue (ARR) to reach at least $220 million by the end of the first quarter, with a long-term goal of $750 million to $1 billion by December [9] - Comparatively, Nebius could be valued between $13.1 billion and $17.5 billion based on a price-to-sales multiple derived from CoreWeave's rumored valuation, while its current market capitalization stands at $10.9 billion [10][11]

Core Viewpoint - The announcement of DeepSeek's R1 large language model costing only $6 million has raised questions about the true costs of AI infrastructure development, impacting investor sentiment towards large tech stocks, while major companies continue to plan significant capital expenditures for AI growth in 2025 [1][2][8] Group 1: Company Developments - Nebius Group, emerging from the restructuring of Yandex, has seen a 67% gain year-to-date and is now focused on AI infrastructure and related businesses [3][4] - Nebius reported a significant revenue increase from $11.4 million in Q1 to approximately $38 million in Q4, with a full-year revenue of $117.5 million for 2024, and aims for a $1 billion annual revenue run rate by the end of 2025 [5] - The company ended Q4 with $2.45 billion in cash and negligible debt, representing over 25% of its total market cap of $9.3 billion [5] Group 2: Investment Insights - Nvidia participated in a $700 million funding round for Nebius and holds over 1 million shares valued at about $33 million, indicating confidence in Nebius's growth potential [6] - Major tech companies, including Microsoft, Meta, Amazon, and Alphabet, plan to spend at least $300 billion on AI capital expenditures in 2025, supporting the ongoing growth of the AI sector [7] - Nebius's Avride business focuses on autonomous driving technologies, and the company's valuation appears reasonable with a forward enterprise value-to-sales ratio of less than 7 if it meets its revenue targets [12]

Company Overview - Nebius Group N.V. is an "AI infrastructure" firm based in Amsterdam, operating nearly a dozen hubs that include data centers, customer-facing facilities, and engineering hubs [1]

Nebius is an Nvidia-backed cloud company.In this video, I will cover Nebius Group's (NBIS -5.76%) recent earnings report and comments from management during the call. Watch the short video to learn more, consider subscribing, and click the special offer link below.*Stock prices used were from the trading day of Feb. 19, 2025. The video was published on Feb. 20, 2025. ...

Group 1 - The company Nebius Group N.V. (NASDAQ: NBIS) has been issued a buy rating in the high teens by the investment service [1] - The article suggests that investors should consider purchasing shares of Nebius Group N.V. [1] - The investment service emphasizes a blended trading and income approach to enhance savings and retirement timelines [1] Group 2 - The investment service offers a money-back guarantee for new users, indicating confidence in their investment ideas [2] - The team behind the service claims to have a proven track record and provides high conviction investment ideas [2]

Nebius Group N.V. (NASDAQ:NBIS) Q4 2024 Earnings Conference Call February 20, 2025 8:00 AM ET Company Participants Neil Doshi - Head of IR Arkady Volozh - Founder and CEO Tom Blackwell - CCO Andrey Korolenko - Chief Product & Infrastructure Officer Roman Chernin - CBO Neil Doshi Hello, and welcome to Nebius Group's Fourth Quarter and Full Year 2024 Earnings Conference Call. My name is Neil Doshi, Head of Investor Relations. Joining me today to discuss our results are Arkady Volozh, Founder and CEO, and the ...

With just one subscription to Beyond the Wall Investing , you can save thousands of dollars a year on equity research reports from banks. You'll keep your finger on the pulse and have access to the latest and highest-quality analysis of this type of information.I was lucky enough to initiate my coverage of Nebius Group N.V. ( NBIS ) stock right after DeepSeek's ( DEEPSEEK ) release that wiped out hundreds of billions of dollars in market caps of virtuallyHe leads the investing group Beyond the Wall Investin ...

Nebius Group (NASDAQ: NBIS ) is a very interesting company, and its stock gained more than 100% over the last twelve months. The stock analysis reveals that the rally was fueled by fundamental factors because the company has built a solid differentiatingAs an investor who started my path five years ago with my own capital, I represent a blend of hands on experience and academic background in corporate finance. Due to my relatively young age I thrive on discovering long-duration growth opportunities and acti ...

Core Viewpoint - The recent sell-off in AI stocks, particularly following news about the Chinese AI start-up DeepSeek, presents a potential buying opportunity for investors, especially in companies like Nebius Group [2][3][13] AI Industry Dynamics - DeepSeek has developed a competing large language model using outdated Nvidia processors, raising concerns about the future demand for Nvidia's latest GPUs [2] - The panic selling in the tech sector is driven by fears that demand for Nvidia's GPUs may stall, although big tech companies' comments suggest that while capital expenditure (capex) growth may slow, absolute spending will remain significant [4][11] Big Tech Insights - Microsoft reported decelerating growth in its Azure cloud business and indicated that its capex growth rate will be lower than in FY '25 [8] - Tesla has invested approximately $5 billion in AI-related capex and expects flat year-over-year capex for 2025, focusing on autonomous vehicles and humanoid robots [8] - Meta Platforms plans to increase its capex by over 60% in 2025 to $65 billion, maintaining a strong commitment to AI infrastructure despite the recent market turmoil [8] Nebius Group's Position - Nebius Group is closely linked to Nvidia, planning to establish a GPU cluster in Kansas City using Nvidia's Hopper GPUs and later incorporating the Blackwell architecture [9] - Nebius is also expanding data centers in Finland and Paris with a mix of Nvidia's H100, H200, and Blackwell GPUs, indicating strong demand for its services [9][12] - The stock performance of Nebius has mirrored Nvidia's decline, suggesting a potential opportunity for investors to buy at lower prices [10][13]

Small deep value individual investor, with a modest private investment portfolio, split approx. 50%-50% between shares and call options. I have a B.Sc. in aeronautical engineering and over 6 years of experience as an engineering consultant in the aerospace sector. The latter statement is not relevant in any way whatsoever to my investment style, but I thought to add it for self-indulgent purposes. I have a contrarian investment style, highly risky, and often dealing with illiquid options. How illiquid? Well ...