This Underrated AI Stock Could Be the Best Growth Story of the Decade

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]