Nebius Group (NASDAQ:NBIS) Stock Falls 5.7% – Time to Sell?

Nebius Group N.V. (NASDAQ:NBIS)’s stock price traded down 5.7% on Thursday. The stock traded as low as $168.76 and last traded at $171.99. 16,947,717 shares changed hands during trading, a decline of 7% from the average daily volume of 18,126,205 shares. The stock had previously closed at $182.34.

More Nebius Group News

Here are the key news stories impacting Nebius Group this week:

• Positive Sentiment: A director purchased a combined 353 shares of Nebius at prices of approximately $159 and $170, modestly increasing his holdings. Because both transactions were made under a pre-arranged Rule 10b5-1 plan, the purchases provide some support but are a limited short-term catalyst. SEC insider trading filing
• Positive Sentiment: InvestorPlace identified Nebius as its preferred “NeoCloud” stock, citing approximately $8 billion of cash, access to a new $3.5 billion Citi financing facility, major customer commitments from Microsoft and Meta, planned data-center capacity, and NVIDIA’s strategic backing. These factors could help Nebius withstand industry consolidation better than more heavily leveraged rivals. The One NeoCloud Stock to Buy Now
• Positive Sentiment: Other bullish commentary argues that Nebius has comparatively lower leverage, pricing power, and strong access to capital. The company’s second-quarter revenue rose 454% year over year to $582.3 million, while its AI cloud business generated nearly all of group revenue. Why I Loaded Up During This Crash
• Neutral Sentiment: Analyst comparisons with IREN and CoreWeave highlight Nebius’s rapid growth and financing advantages, but also its premium valuation and substantial need to fund data-center construction, power deployment, and GPU purchases. Nebius vs. IREN
• Negative Sentiment: Microsoft’s lower-than-expected capital expenditures revived fears that hyperscalers may be slowing or staging AI infrastructure spending. That pressure spread to Nebius and other AI-cloud providers because their growth depends on customers continuing to deploy large amounts of computing capacity. Why Nebius, CoreWeave and IREN Stocks Are Falling
• Negative Sentiment: Investors remain concerned about Nebius’s debt, floating-rate and refinancing exposure, possible dilution, customer concentration, and delays in bringing contracted power and computing capacity online. Strong revenue growth and customer commitments do not yet eliminate execution or free-cash-flow risks.

Analyst Ratings Changes

A number of brokerages have recently issued reports on NBIS. BNP Paribas Exane raised shares of Nebius Group from a “neutral” rating to an “outperform” rating and boosted their target price for the company from $260.00 to $399.00 in a research report on Thursday, September 24th. Weiss Ratings lowered Nebius Group from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Thursday, October 15th. Northland Securities upped their target price on Nebius Group from $248.00 to $410.00 and gave the company an “outperform” rating in a research report on Monday, July 20th. Truist Financial raised Nebius Group to a “strong-buy” rating in a research note on Thursday, September 10th. Finally, William Blair began coverage on shares of Nebius Group in a report on Wednesday, September 30th. They issued an “outperform” rating on the stock. Four investment analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, Nebius Group presently has an average rating of “Moderate Buy” and a consensus price target of $243.25.

Nebius Group Stock Performance

The stock has a 50 day moving average of $212.06 and a 200 day moving average of $176.27. The company has a market capitalization of $43.52 billion, a price-to-earnings ratio of -5,731.09 and a beta of 4.18. The company has a quick ratio of 4.03, a current ratio of 4.03 and a debt-to-equity ratio of 0.82.

Nebius Group (NASDAQ:NBIS) last announced its earnings results on Thursday, August 13th. The company reported ($0.12) EPS for the quarter, beating the consensus estimate of ($0.67) by $0.55. Nebius Group had a negative return on equity of 6.03% and a net margin of 4.55%. The company had revenue of $582.30 million for the quarter, compared to analyst estimates of $567.91 million. During the same quarter in the prior year, the company earned $2.38 EPS. The firm’s revenue for the quarter was up 454% compared to the same quarter last year. As a group, analysts predict that Nebius Group N.V. will post -3.19 EPS for the current year.

Insider Transactions at Nebius Group

In related news, Director Wilson Boynton sold 7,260 shares of the company’s stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $177.63, for a total transaction of $1,289,593.80. Following the transaction, the director directly owned 403,522 shares of the company’s stock, valued at approximately $71,677,612.86. This represents a 1.77% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Marc Boroditsky sold 7,000 shares of the stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $211.23, for a total value of $1,478,610.00. Following the completion of the transaction, the executive owned 7,000 shares in the company, valued at approximately $1,478,610. The trade was a 50.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have purchased 1,718 shares of company stock valued at $280,207 and have sold 158,490 shares valued at $38,111,200.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. True Freedom Investing LLC bought a new stake in shares of Nebius Group in the 3rd quarter worth approximately $773,000. Pinkerton Wealth LLC bought a new stake in Nebius Group in the third quarter valued at $422,000. Mirae Asset Global Investments Co. Ltd. bought a new stake in Nebius Group in the third quarter valued at $117,370,000. ProShare Advisors LLC lifted its position in shares of Nebius Group by 12.5% in the 3rd quarter. ProShare Advisors LLC now owns 230,548 shares of the company’s stock worth $54,382,000 after purchasing an additional 25,656 shares during the period. Finally, Vise Technologies Inc. boosted its stake in shares of Nebius Group by 127.1% during the 3rd quarter. Vise Technologies Inc. now owns 7,359 shares of the company’s stock valued at $1,736,000 after purchasing an additional 4,119 shares in the last quarter. Institutional investors and hedge funds own 21.90% of the company’s stock.

Nebius Group Company Profile

Nebius Group N.V. is a technology company focused on providing cloud infrastructure and services for artificial intelligence and machine learning applications. Through its Nebius AI division, the company offers access to high-performance computing, graphics processing units (GPUs), storage, networking, and related tools designed to help businesses and developers train, deploy, and operate AI models.

The company also operates or supports other technology businesses, including Toloka, an AI data and evaluation platform; TripleTen, an online education provider focused on technology careers; and Avride, a developer of autonomous driving and delivery technologies.