Is Nebius Stock a Buy, Sell, or Hold on the Microsoft AI Deal?

Group 1 - Nebius (NBIS) shares surged nearly 50% following a $19.4 billion cloud-computing deal with Microsoft (MSFT) [1] - The deal involves Nebius supplying dedicated AI infrastructure to Microsoft from a new data center in Vineland, New Jersey, addressing the rising demand for generative AI workloads [1][4] - Nebius stock has increased approximately 395% from its year-to-date low in early April, indicating strong market performance [2] Group 2 - The Microsoft deal enhances Nebius' visibility among hyperscalers and provides multi-year revenue certainty, which is expected to unlock further upside in shares through 2025 [3] - The agreement is seen as a significant boost to Nebius' GPU-as-a-Service business, driving top-line growth in upcoming quarters [5] - Despite the positive outlook, analysts from Goldman Sachs maintain a $77 price target on NBIS shares, suggesting they are currently expensive at a price-sales (P/S) multiple of 131x [5][6]