Core Insights - Nebius Group is emerging as a significant player in the AI sector, with its stock price nearly quadrupling in 2025, outperforming competitors like Nvidia and CoreWeave [1][7] - The company focuses on an AI cloud platform and has subsidiaries in autonomous vehicle technology and education technology, indicating a diversified approach to growth [3][4] Company Overview - Nebius operates two subsidiaries: Avride, which develops autonomous vehicle technology, and TripleTen, a leading education technology provider [3] - The company also has stakes in ClickHouse, an open-source database platform, and Toloka, an AI data specialist [3] Growth Potential - Nebius is rapidly expanding its capacity to meet increasing demand, aiming to secure over 1 gigawatt of power by the end of 2026, which is crucial for AI data centers [5] - The company has secured over $4 billion in capital, positioning it well for future financing needs [5] Financial Performance - Nebius reported a staggering 625% year-over-year revenue growth and a 106% sequential increase in Q2 2025, significantly outpacing competitors [7] - The company's share price performance has been exceptional, with a nearly quadrupled value year-to-date [7] Market Position - Nebius has attracted notable customers like Cloudflare and Shopify, as well as emerging AI companies such as HeyGen and Lightning.AI [8] - Despite its growth, Nebius receives less media attention compared to larger competitors, with fewer than 1.6 million Google Search results mentioning the company this year [8] Future Outlook - The demand for AI infrastructure is expected to continue growing, with Nebius positioned as one of the few hyperscalers likely to benefit from this trend [9] - The potential for growth from its subsidiaries, particularly Avride, is significant, especially in the autonomous delivery sector [10] Valuation Considerations - Nebius is not yet profitable, making traditional earnings-based valuation metrics inapplicable; however, its shares trade at 147 times trailing-12-month sales, which may be justified by rapid revenue growth [11]

Company Overview - Nebus is an AI infrastructure company that provides a full stack of capabilities, including hardware (GPUs) and software support for AI engineers to build optimized models and inference capabilities [3][4] - The company operates similarly to AWS, offering AI infrastructure as a service, allowing customers to scale their requirements flexibly [5] Recent Developments - Nebus shares have surged over 270% this year, with a significant boost attributed to a $19.4 billion deal with Microsoft to provide AI infrastructure through 2031 [1][6][7] - The Q2 revenue for Nebus was reported at $15.1 million, reflecting a 625% year-on-year increase, driven by high-profile clients [9] Client Base and Market Position - The primary focus of Nebus is on servicing AI startups, labs, research organizations, and increasingly, major enterprises [11][12] - The company is expanding its client base across various segments, indicating a broad market reach [12] Infrastructure and Energy Capacity - Nebus is actively planning to expand its energy capacity, having lined up a gigawatt of energy and aiming for multiple gigawatts in the future [17] - The company employs a flexible approach to building data centers, allowing for rapid expansion and adaptation to market demands [18] Geographic Expansion - Nebus is diversifying its geographic footprint with data centers opening in the UK, France, Israel, Finland, and Iceland, while maintaining a strong customer base in the Bay Area [21][22]

Core Viewpoint - Nebius Group (NBIS) has experienced significant stock price fluctuations following earnings announcements and strategic partnerships, particularly with Microsoft, highlighting the challenges and strategies in managing investments during volatile market conditions [2][4][6]. Group 1: Stock Performance and Market Reactions - After Nebius announced an earnings beat and raised guidance in August, the stock surged over 20%, but those who bought at the peak faced a 7% decline by the end of the day [2]. - Following an AI cloud-computing deal with Microsoft, Nebius stock jumped 50% in a single day, raising concerns about managing risk for new investors [4]. - The stock showed resilience, with a subsequent upside reversal that allowed for better risk management, as it only dropped 4.2% over the next few days after the initial spike [3]. Group 2: Investment Strategy and Risk Management - The company adopted a cautious approach by waiting a week before adding to their position in Nebius after the significant price increase, using the low of the entry day as a stop to limit risk to 5.6% [4]. - As the stock progressed, the company strategically trimmed their position, taking profits at various points to manage the average true range (ATR) and reduce portfolio volatility [5][6]. - Ultimately, the company sold the remaining shares into strength, achieving a 10% gain within a week, demonstrating effective risk management despite the stock's subsequent fluctuations [6].

Group 1 - Nebius Group N.V. (NASDAQ:NBIS) has experienced a stock rally of over 308% for the year despite reporting losses [1] - The company develops full-stack infrastructure for AI, including GPU clusters, cloud platforms, and developer tools, and offers services like Toloka for generative AI data and Avride for autonomous driving solutions [1] - Nebius recently secured a $17 billion contract to build a data center for Microsoft in Vineland, New Jersey, which significantly boosted its stock price from $64 to nearly $96 [1] Group 2 - Nebius was previously part of Yandex, a controversial Russian company, but has since spun out and is now recognized for its contributions to the data center industry [1] - The company is noted for its relationships with major players like Microsoft, which enhances its market position [1] - There are suggestions that while Nebius shows potential, other AI stocks may offer greater upside potential with less downside risk [1]

Group 1 - The company PropNotes specializes in identifying high-yield investment opportunities for individual investors, leveraging a background in professional Prop Trading to simplify complex concepts [1] - The analysis produced by the company aims to provide clear, actionable insights to help investors achieve better returns, emphasizing the importance of expert research [1] Group 2 - The analyst has disclosed a beneficial long position in the shares of NBIS, indicating a personal investment interest in the company [2] - The analyst also holds a short position in shares of Palantir, suggesting a bearish outlook on that particular stock [2]

Core Insights - Nebius Group N.V. (NBIS) is experiencing significant growth due to the rising global demand for AI computing power, particularly in AI-focused cloud services [1][2] - The company reported a remarkable 625% year-over-year revenue increase, reaching $105.1 million in Q2 2025, driven by strong performance in its core AI cloud platform [3][10] - Nebius has raised its annualized run rate (ARR) revenue guidance to a range of $900 million to $1.1 billion, while maintaining its core business revenue outlook of $400 million to $600 million [5][10] Business Developments - Nebius signed a five-year, $17.4 billion AI infrastructure deal with Microsoft, which could expand to $19.4 billion, enhancing its position in the AI cloud market [6][10] - The company has upgraded its cloud software to support larger capacities and clusters, and expanded its customer base to include major tech firms like Cloudflare, Prosus, and Shopify [4][10] - Nebius continues to see strong momentum in AI compute demand, indicating a positive outlook for growth in 2026 and beyond [5] Competitive Landscape - Nebius faces competition from major players like Microsoft and CoreWeave, which are also advancing their AI capabilities and cloud infrastructure [7][8] - CoreWeave has reported significant achievements, including a $4 billion expansion with OpenAI, and has raised its 2025 revenue guidance to $5.15–$5.35 billion [11][12] Market Performance - Shares of Nebius have surged 358.3% over the past six months, significantly outperforming the Internet – Software and Services industry's growth of 37.3% [13] - The company's shares are currently trading at a price/book ratio of 7.07X, higher than the industry's ratio of 4.48X [14]

Nebius stock price has staged a strong comeback in the past few months. It jumped from a low of $14.27 in 2024 to a high of $115, bringing its market capitalization to over $28.25 billion, up from las... ...

Core Insights - The rise of artificial intelligence (AI) has created significant opportunities for businesses and investors, with Nebius Group (NASDAQ: NBIS) being a notable beneficiary, as its shares have increased over 250% in 2025 through mid-September [1] - Nebius Group specializes in high-performance cloud computing infrastructure for AI systems, having severed ties with Russia after the Ukraine invasion [3] - The company reported a remarkable 625% year-over-year sales growth in Q2, reaching $105.1 million, driven by the demand for AI computing power [4] Company Overview - Nebius Group originated from Yandex, a Russian tech company, and has shifted its focus to AI infrastructure [3] - The company has subsidiaries in autonomous vehicles and education technology, but financial details for these segments are not disclosed [4] - The CEO of Nebius anticipates continued growth in the AI sector, aligning with industry predictions from Nvidia's CEO regarding the need for AI-specific infrastructure [5] Recent Developments - Microsoft has entered into a multi-year agreement with Nebius, valued in the billions, which is expected to enhance Nebius's revenue [6] - To meet the increasing demand for AI services, Nebius is rapidly expanding its capacity and constructing new data centers [7] Financial Considerations - In Q2, Nebius incurred $91.5 million in capital expenditures, marking a 49% increase year-over-year, while accumulating nearly $1 billion in debt, a significant rise from $6.1 million at the end of 2024 [7]

Nebius is working to bring more data center capacity online, which should eventually allow it to win more business and sustain strong revenue growth levels. Even before Nebius announced the Microsoft contract, it was on track to secure more than 1 gigawatt (GW) of contracted data center capacity by the end of 2026.What's more, investors can expect Nebius to land more such contracts. Due to a shortage of cloud computing capacity to run AI workloads, companies like Microsoft are sitting on huge backlogs . Eve ...

I am happy that I do not have the bad habit of selling my biggest winners no matter what. Yes, I missed the latest Nebius (NASDAQ: NBIS ) rally due to my cautiousness in the previous thesis. However, the stock isComing from an IT background, I have dived into the U.S. stock market seven years ago by managing portfolio of my family. Starting managing real money has been challenging for the first time, but long hours of mastering fundamental analysis of public companies paid off and now I feel very confident ...