Nebius Group (NASDAQ:NBIS) Trading 10.9% Higher – Still a Buy?

Nebius Group N.V. (NASDAQ:NBIS) shares shot up 10.9% during trading on Wednesday . The stock traded as high as $195.99 and last traded at $195.09. 19,107,328 shares changed hands during mid-day trading, an increase of 24% from the average session volume of 15,428,638 shares. The stock had previously closed at $175.92.

Key Stories Impacting Nebius Group

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

• Positive Sentiment: Recent articles highlighted Nebius as a top AI infrastructure winner, driven by its partnership with Nvidia, a growing backlog, and expectations for monster revenue growth this year. Nvidia’s $2.2 Billion Investment in This Rapidly Growing AI Company Is Working Out Great
• Positive Sentiment: Market commentary also said Nebius has become a serious contender in AI inference and continues to benefit from a large order book, which has helped keep sentiment strong. Nebius just became a serious contender in AI inference. It’s a strong buy even at all-time highs.
• Neutral Sentiment: Multiple writeups noted that Nebius has already surged significantly this year, reinforcing that momentum remains powerful but also that expectations are high. This Stock Has Soared 110% This Year, and It’s Just Getting Started
• Negative Sentiment: Director Elena Bunina disclosed a sale of 10,819 shares under a pre-arranged trading plan, which can still pressure sentiment when a stock is near all-time highs. Elena Bunina Sells 10,819 Shares of Nebius Group (NASDAQ:NBIS) Stock
• Negative Sentiment: One recent market note warned the stock looks frothy ahead of Nebius’ May 13 earnings report, raising the risk of a “sell-the-news” reaction if results do not exceed lofty expectations. MarketBeat Week in Review – 05/04 – 05/08

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on NBIS. Bank of America initiated coverage on Nebius Group in a research report on Tuesday, March 24th. They issued a “buy” rating and a $150.00 price target on the stock. Morgan Stanley assumed coverage on Nebius Group in a research report on Thursday, January 15th. They set an “equal weight” rating and a $126.00 price objective for the company. Compass Point initiated coverage on Nebius Group in a research note on Wednesday, February 18th. They set a “buy” rating and a $150.00 target price for the company. Cantor Fitzgerald assumed coverage on Nebius Group in a report on Thursday, April 9th. They issued an “overweight” rating and a $129.00 target price on the stock. Finally, Freedom Capital downgraded Nebius Group from a “strong-buy” rating to a “hold” rating in a research report on Monday, April 13th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $154.75.

Nebius Group Price Performance

The stock’s 50-day moving average price is $125.83 and its 200 day moving average price is $107.25. The firm has a market cap of $44.59 billion, a price-to-earnings ratio of -121.28 and a beta of 4.03. The company has a quick ratio of 3.08, a current ratio of 3.08 and a debt-to-equity ratio of 0.89.

Nebius Group (NASDAQ:NBIS) last released its earnings results on Thursday, February 12th. The company reported ($0.69) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.42) by ($0.27). Nebius Group had a negative return on equity of 11.71% and a net margin of 19.02%.The firm had revenue of $227.70 million for the quarter, compared to analyst estimates of $246.05 million. Equities research analysts predict that Nebius Group N.V. will post -2.44 earnings per share for the current year.

Insider Activity at Nebius Group

In other news, Director Elena Bunina sold 10,819 shares of the business’s stock in a transaction that occurred on Wednesday, May 6th. The stock was sold at an average price of $184.86, for a total transaction of $2,000,000.34. Following the sale, the director directly owned 21,666 shares in the company, valued at approximately $4,005,176.76. The trade was a 33.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Arkadiy Volozh sold 33,358 shares of the company’s stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $103.73, for a total value of $3,460,225.34. Following the completion of the transaction, the chief executive officer owned 868,289 shares of the company’s stock, valued at $90,067,617.97. The trade was a 3.70% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 146,441 shares of company stock worth $17,672,342 in the last three months.

Hedge Funds Weigh In On Nebius Group

Hedge funds have recently made changes to their positions in the business. Zurcher Kantonalbank Zurich Cantonalbank lifted its position in shares of Nebius Group by 34,371.3% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 93,762 shares of the company’s stock worth $7,848,000 after buying an additional 93,490 shares during the period. J.W. Cole Advisors Inc. grew its position in Nebius Group by 123.9% in the third quarter. J.W. Cole Advisors Inc. now owns 33,488 shares of the company’s stock valued at $3,760,000 after acquiring an additional 18,533 shares during the period. Trek Financial LLC bought a new stake in Nebius Group in the third quarter valued at $2,309,000. Sumitomo Mitsui Trust Group Inc. acquired a new position in Nebius Group during the fourth quarter worth $24,756,000. Finally, Mirae Asset Global Investments Co. Ltd. raised its stake in Nebius Group by 52.0% during the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 86,169 shares of the company’s stock worth $9,674,000 after acquiring an additional 29,494 shares in the last quarter. Institutional investors and hedge funds own 21.90% of the company’s stock.

About Nebius Group

Nebius Group N.V., a technology company, builds intelligent products and services powered by machine learning and other technologies to help consumers and businesses navigate the online and offline world. The company’s services include Nebius AI, an AI-centric cloud platform that offers infrastructure and computing capability for AI deployment and machine-learning oriented solutions; and Toloka AI that offers generative AI (GenAI) solutions at every stage of the GenAI lifecycle, such as data annotation and generation, model training and fine-tuning, and quality assessment of large language model for accuracy and reliability.