Nebius Group (NASDAQ:NBIS) Shares Down 15% – What’s Next?

Nebius Group N.V. (NASDAQ:NBIS)’s stock price was down 15% during trading on Friday . The company traded as low as $186.41 and last traded at $187.77. Approximately 23,800,059 shares were traded during mid-day trading, an increase of 43% from the average session volume of 16,615,238 shares. The stock had previously closed at $220.97.

Trending Headlines about Nebius Group

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

• Positive Sentiment: Nvidia disclosed a 9.3% passive stake in Nebius, which investors viewed as a strong vote of confidence in the company’s AI infrastructure platform. Nebius Group (NBIS) Draws Nvidia Backing, Is It Still Below Fair Value?
• Positive Sentiment: The company validated its first Vera Rubin NVL72 rack in Finland, reinforcing its early access to cutting-edge Nvidia hardware and its role as a showcase customer for next-generation AI infrastructure. Nebius validates first Vera Rubin NVL72 rack in Finland days after NVDA stake
• Positive Sentiment: Several analyst actions were favorable, including an upgrade to “strong-buy” from Robert W. Baird and another upgrade from Freedom Capital, adding to the bullish tone around the stock. Zacks.com

Analyst Ratings Changes

NBIS has been the subject of several recent analyst reports. Weiss Ratings upgraded shares of Nebius Group from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, May 20th. Cantor Fitzgerald started coverage on shares of Nebius Group in a research report on Thursday, April 9th. They set an “overweight” rating and a $129.00 price target for the company. DA Davidson lowered Nebius Group from a “buy” rating to a “neutral” rating and raised their target price for the stock from $200.00 to $250.00 in a report on Monday, May 18th. Morgan Stanley boosted their price target on Nebius Group from $126.00 to $144.00 and gave the company an “equal weight” rating in a report on Thursday, May 14th. Finally, Bank of America raised their price target on shares of Nebius Group from $240.00 to $280.00 and gave the company a “buy” rating in a research report on Monday, June 8th. Three equities research analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $222.15.

Nebius Group Stock Performance

The company has a market cap of $47.51 billion, a PE ratio of 60.57 and a beta of 4.10. The firm’s fifty day moving average is $228.94 and its 200 day moving average is $156.87. The company has a current ratio of 8.33, a quick ratio of 8.33 and a debt-to-equity ratio of 1.16.

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

Insider Activity

In related news, insider Andrey Korolenko sold 500,000 shares of Nebius Group stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $203.24, for a total value of $101,620,000.00. Following the sale, the insider directly owned 585,209 shares in the company, valued at approximately $118,937,877.16. The trade was a 46.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director Elena Bunina sold 10,894 shares of the business’s stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $206.87, for a total value of $2,253,641.78. Following the sale, the director owned 10,772 shares of the company’s stock, valued at approximately $2,228,403.64. This trade represents a 50.28% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 668,405 shares of company stock worth $140,422,170.

Hedge Funds Weigh In On Nebius Group

Several hedge funds and other institutional investors have recently made changes to their positions in the company. State Street Corp increased its position in shares of Nebius Group by 2,391.3% during the fourth quarter. State Street Corp now owns 3,219,326 shares of the company’s stock worth $269,474,000 after purchasing an additional 3,090,103 shares in the last quarter. Capital Research Global Investors purchased a new position in Nebius Group in the 4th quarter valued at $231,635,000. Accel Leaders 3 Associates L.P. purchased a new position in Nebius Group in the 4th quarter valued at $188,496,000. Qube Research & Technologies Ltd acquired a new stake in Nebius Group during the 3rd quarter worth $238,511,000. Finally, Orbis Allan Gray Ltd boosted its stake in Nebius Group by 12.4% during the 2nd quarter. Orbis Allan Gray Ltd now owns 17,651,930 shares of the company’s stock worth $976,681,000 after purchasing an additional 1,949,708 shares during the last quarter. Hedge funds and other institutional investors 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.