Nebius Group (NASDAQ:NBIS) Stock Falls 4.2% Following Insider Selling

Shares of Nebius Group N.V. (NASDAQ:NBIS) fell 4.2% during mid-day trading on Monday after an insider sold shares in the company. The stock traded as low as $230.51 and last traded at $232.57. 14,076,623 shares traded hands during mid-day trading, a decline of 20% from the average daily volume of 17,621,143 shares. The stock had previously closed at $242.81.

Specifically, insider Andrey Korolenko sold 29,090 shares of the stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $234.16, for a total transaction of $6,811,714.40. Following the completion of the sale, the insider directly owned 522,248 shares of the company’s stock, valued at approximately $122,289,591.68. This represents a 5.28% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CTO Danila Shtan sold 14,546 shares of Nebius Group stock in a transaction that occurred on Thursday, October 1st. The stock was sold at an average price of $234.16, for a total transaction of $3,406,091.36. Following the completion of the transaction, the chief technology officer directly owned 260,217 shares in the company, valued at approximately $60,932,412.72. The trade was a 5.29% decrease in their position. The SEC filing for this sale provides additional information. In related news, CEO Arkadiy Volozh sold 37,778 shares of the business’s stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $234.16, for a total transaction of $8,846,096.48. Following the completion of the transaction, the chief executive officer owned 785,236 shares in the company, valued at $183,870,861.76. The trade was a 4.59% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link.

Wall Street Analyst Weigh In

NBIS has been the subject of several recent analyst reports. Northland Securities raised their target price on shares of Nebius Group from $248.00 to $410.00 and gave the company an “outperform” rating in a research note on Monday, July 20th. Rothschild & Co Redburn started coverage on Nebius Group in a report on Monday, September 21st. They set a “sell” rating and a $84.00 price objective for the company. William Blair initiated coverage on Nebius Group in a research report on Wednesday, September 30th. They issued an “outperform” rating for the company. Freedom Capital upgraded Nebius Group from a “hold” rating to a “strong-buy” rating in a research note on Monday, July 20th. Finally, BNP Paribas Exane raised Nebius Group from a “neutral” rating to an “outperform” rating and upped their target price for the company from $260.00 to $399.00 in a research report on Thursday, September 24th. Two research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $241.80.

Trending Headlines about Nebius Group

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

• Positive Sentiment: Nebius agreed to acquire Inferize to strengthen its Token Factory AI-inference platform. The deal is intended to reduce cold starts, improve GPU utilization and lower the cost of idle computing capacity as AI workloads scale. Nebius Strengthens Token Factory With Inferize Acquisition
• Positive Sentiment: Nebius reportedly has approximately $40 billion in customer commitments, including about $32 billion from Microsoft and Meta, with additional potential commitments of up to $17 billion. Microsoft’s contractual payments reportedly apply even if it does not fully use its reserved capacity, improving revenue visibility. Nebius Has $40 Billion of Customer Commitments
• Neutral Sentiment: Nebius is exploring partner-owned infrastructure to expand AI capacity while reducing the capital required for buildings and GPUs. This could improve returns on invested capital, although partners would receive part of the economics, potentially limiting margins. Can Nebius Earn Better Returns by Letting Partners Own the Hardware?
• Negative Sentiment: CEO Arkadiy Volozh sold 37,778 shares for approximately $8.85 million, reducing his holdings by 4.59%. CTO Danila Shtan sold 14,546 shares worth about $3.41 million, while insider Andrey Korolenko sold 29,090 shares valued at roughly $6.81 million. The sales were disclosed in SEC filings and may concern investors because multiple insiders sold at the same price.
• Negative Sentiment: Concerns about AI infrastructure valuations and potentially declining compute pricing remain an overhang. Investor Michael Burry has reportedly positioned for a substantial decline in AI-related stocks, including Nebius, reinforcing worries that the sector may be overvalued. Michael Burry Thinks the AI Bubble Will Burst

Nebius Group Stock Down 4.2%

The company’s 50 day moving average price is $219.62 and its 200 day moving average price is $200.43. The company has a quick ratio of 4.03, a current ratio of 4.03 and a debt-to-equity ratio of 0.82. The firm has a market capitalization of $58.84 billion, a price-to-earnings ratio of -7,749.75 and a beta of 4.18.

Nebius Group (NASDAQ:NBIS) last released its earnings results on Thursday, August 13th. The company reported ($0.12) earnings per share (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 firm had revenue of $582.30 million for the quarter, compared to the consensus estimate of $567.91 million. During the same period in the prior year, the firm earned $2.38 EPS. The firm’s revenue was up 454% on a year-over-year basis. As a group, research analysts forecast that Nebius Group N.V. will post -3.48 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. BlackRock Inc. increased its holdings in Nebius Group by 16.0% in the 2nd quarter. BlackRock Inc. now owns 11,531,270 shares of the company’s stock worth $3,184,591,000 after buying an additional 1,593,684 shares during the period. Situational Awareness LP acquired a new stake in Nebius Group during the 2nd quarter valued at approximately $1,232,895,000. State Street Corp boosted its holdings in shares of Nebius Group by 16.2% in the 2nd quarter. State Street Corp now owns 4,069,875 shares of the company’s stock valued at $1,123,977,000 after acquiring an additional 568,415 shares during the last quarter. Jennison Associates LLC boosted its holdings in shares of Nebius Group by 134.3% in the 2nd quarter. Jennison Associates LLC now owns 3,983,899 shares of the company’s stock valued at $1,100,233,000 after acquiring an additional 2,283,676 shares during the last quarter. Finally, Accel Leaders 4 Associates L.P. acquired a new stake in shares of Nebius Group in the second quarter worth $1,012,097,322. 21.90% of the stock is currently owned by hedge funds and other institutional investors.

Nebius Group Company Profile

Nebius Group N.V. is a technology company focused on artificial intelligence infrastructure and related services. Through its Nebius AI business, the company provides cloud-based computing infrastructure designed for developing, training and deploying machine-learning and generative AI applications, including access to accelerated computing, data storage, networking and managed cloud services.

The company also develops tools and services intended to support AI developers and businesses, including data and machine-learning infrastructure.