Nebius Group (NASDAQ:NBIS) Shares Gap Down – Here’s Why

Nebius Group N.V. (NASDAQ:NBIS)’s share price gapped down before the market opened on Tuesday. The stock had previously closed at $210.06, but opened at $200.50. Nebius Group shares last traded at $202.1590, with a volume of 6,936,679 shares.

Wall Street Analysts Forecast Growth

Several brokerages have commented on NBIS. Rosenblatt Securities assumed coverage on Nebius Group in a research note on Thursday, October 8th. They set a “buy” rating and a $304.00 target price for the company. Citigroup increased their price objective on shares of Nebius Group from $278.00 to $324.00 and gave the stock a “buy” rating in a research report on Friday, August 14th. Piper Sandler initiated coverage on shares of Nebius Group in a report on Monday, August 3rd. They set a “neutral” rating and a $224.00 price target on the stock. Truist Financial upgraded shares of Nebius Group to a “strong-buy” rating in a research note on Thursday, September 10th. Finally, Northland Securities upped their target price on Nebius Group from $248.00 to $410.00 and gave the stock an “outperform” rating in a research note on Monday, July 20th. Three research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $245.69.

Nebius Group Trading Down 2.0%

The company has a current ratio of 4.03, a quick ratio of 4.03 and a debt-to-equity ratio of 0.82. The company has a market cap of $52.06 billion, a PE ratio of -6,858.68 and a beta of 4.18. The stock has a 50 day moving average price of $225.09 and a 200 day moving average price of $205.13.

Nebius Group (NASDAQ:NBIS) last issued its quarterly earnings results on Thursday, August 13th. The company reported ($0.12) earnings per share 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 during the quarter, compared to the consensus estimate of $567.91 million. During the same period last year, the company earned $2.38 earnings per share. The company’s revenue was up 454% on a year-over-year basis. Sell-side analysts predict that Nebius Group N.V. will post -3.48 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Charles E. Ryan sold 50,000 shares of Nebius Group stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $265.53, for a total value of $13,276,500.00. Following the sale, the director directly owned 272,533 shares of the company’s stock, valued at approximately $72,365,687.49. The trade was a 15.50% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Danila Shtan sold 14,546 shares of the business’s stock in a transaction dated 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 sale, the chief technology officer owned 260,217 shares in the company, valued at approximately $60,932,412.72. This trade represents a 5.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 166,616 shares of company stock valued at $39,753,038.

Institutional Inflows and Outflows

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

About Nebius Group

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.