Nebius Group (NASDAQ:NBIS) Trading Down 9.7% – Time to Sell?

Nebius Group N.V. (NASDAQ:NBIS)’s stock price was down 9.7% during trading on Tuesday . The stock traded as low as $161.44 and last traded at $169.69. 28,480,203 shares changed hands during mid-day trading, an increase of 70% from the average daily volume of 16,717,205 shares. The stock had previously closed at $187.88.

Nebius Group News Summary

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

• Positive Sentiment: Analysts remain optimistic about Nebius’s transition from GPU rental toward full-stack AI cloud services. Reported AI-cloud revenue growth, improving margins, anchor agreements with Meta and Microsoft, and contracted power capacity support the long-term expansion case. Nebius: A Software Company the Market Insists on Renting Out
• Positive Sentiment: Nvidia’s strategic backing, alongside partnerships with Microsoft and Meta, is being cited as evidence of institutional confidence in Nebius’s AI infrastructure opportunity. An asset-backed financing arrangement could also help fund GPU deployment while limiting reliance on shareholder dilution. Nebius’ Real Catalyst Isn’t Nvidia
• Positive Sentiment: Several bullish commentaries argue that strong top-line growth and sustained demand for AI chips and infrastructure could support further appreciation, although they acknowledge that the shares are expensive. Can Nebius Stock Turn a $10,000 Investment Into $1 Million?
• Neutral Sentiment: Nebius has scheduled an August 25 annual general meeting to approve its 2025 accounts and consider changes to its capital structure. The meeting could provide more detail on financing and corporate plans, but no immediate operating catalyst was announced. Nebius Group Calls August 25 AGM
• Negative Sentiment: Investor caution is centered on valuation and execution. Bearish analysis warns that the stock could fall sharply if AI-infrastructure growth slows, margins disappoint or the company’s large planned capital expenditures produce weaker-than-expected returns. Nebius Could Get Cut in Half
• Negative Sentiment: Competitive developments are also relevant: CoreWeave announced Anam as a cloud customer for low-latency AI-avatar infrastructure, highlighting the intense competition among “neocloud” providers for high-value AI workloads. CoreWeave Powers Anam’s AI Avatars

Analyst Ratings Changes

A number of brokerages have weighed in on NBIS. DA Davidson lowered Nebius Group from a “buy” rating to a “neutral” rating and raised their price objective for the company from $200.00 to $250.00 in a research note on Monday, May 18th. Citizens Jmp increased their target price on Nebius Group from $175.00 to $270.00 and gave the company a “market outperform” rating in a research note on Thursday, May 14th. Weiss Ratings raised shares of Nebius Group from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, May 20th. BNP Paribas Exane began coverage on shares of Nebius Group in a research note on Tuesday, June 2nd. They issued a “neutral” rating and a $255.00 price target for the company. Finally, Freedom Capital upgraded shares of Nebius Group from a “hold” rating to a “strong-buy” rating in a research note on Monday, July 20th. Three research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $222.15.

Nebius Group Stock Down 9.7%

The company has a quick ratio of 8.33, a current ratio of 8.33 and a debt-to-equity ratio of 1.16. The firm has a market capitalization of $42.93 billion, a price-to-earnings ratio of 54.74 and a beta of 4.10. The stock has a 50 day moving average of $228.05 and a 200 day moving average of $158.16.

Nebius Group (NASDAQ:NBIS) last announced its quarterly earnings data on Thursday, May 14th. The company reported ($0.23) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.81) by $0.58. Nebius Group had a negative return on equity of 9.11% and a net margin of 95.27%.The firm had revenue of $399.00 million for the quarter, compared to analysts’ expectations of $375.13 million. The company’s revenue was up 684.0% compared to the same quarter last year. As a group, analysts expect that Nebius Group N.V. will post -1.91 earnings per share for the current fiscal year.

Insider Buying and Selling at Nebius Group

In other Nebius Group news, CFO Sanchez Maria Del Dado Alonso sold 1,509 shares of the business’s stock in a transaction on Tuesday, June 2nd. The shares were sold at an average price of $276.20, for a total transaction of $416,785.80. Following the completion of the sale, the chief financial officer owned 12,672 shares in the company, valued at $3,500,006.40. The trade was a 10.64% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Arkadiy Volozh sold 46,627 shares of the firm’s stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $235.45, for a total transaction of $10,978,327.15. Following the completion of the transaction, the chief executive officer owned 821,662 shares in the company, valued at approximately $193,460,317.90. The trade was a 5.37% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 668,405 shares of company stock worth $140,422,170.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Allied Private Wealth LLC bought a new stake in shares of Nebius Group during the 2nd quarter valued at about $25,000. Parkside Financial Bank & Trust bought a new position in Nebius Group in the fourth quarter worth about $25,000. Root Financial Partners LLC acquired a new position in Nebius Group in the fourth quarter valued at approximately $26,000. SHP Wealth Management bought a new position in shares of Nebius Group during the fourth quarter valued at approximately $26,000. Finally, Sound Income Strategies LLC grew its holdings in shares of Nebius Group by 62.5% during the first quarter. Sound Income Strategies LLC now owns 260 shares of the company’s stock valued at $27,000 after purchasing an additional 100 shares during the last quarter. 21.90% of the stock is owned by institutional investors and hedge funds.

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.