Nebius Group (NASDAQ:NBIS) Stock Falls 2.3% – Time to Sell?

Nebius Group N.V. (NASDAQ:NBIS)’s stock price fell 2.3% during trading on Monday. The stock traded as low as $228.38 and last traded at $231.88. 12,683,452 shares changed hands during mid-day trading, a decline of 28% from the average session volume of 17,734,711 shares. The stock had previously closed at $237.33.

Key Nebius Group News

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

• Positive Sentiment: William Blair initiated coverage with an Outperform rating. Analyst Jason Ader said Nebius could differentiate itself through infrastructure scale, software capabilities, major customer relationships and access to relatively low-cost capital. The report helped support premarket strength and argued that the current valuation may understate Nebius’ long-term earnings potential. Why is Nebius stock rising in premarket today
• Positive Sentiment: Nebius raised prices on its most in-demand GPU clusters. The move signals strong customer demand and potential pricing power as AI-computing capacity remains scarce, although investors will watch whether higher prices translate into stronger profits. Nebius’ Strong Signal Is Going to Move Markets in the Coming Days
• Positive Sentiment: Revenue momentum remains a major attraction. Nebius has recently generated larger revenue and faster quarterly growth than Cerebras Systems, reinforcing the company’s position in the rapidly expanding AI-infrastructure market. Cerebras Systems vs. Nebius
• Positive Sentiment: BNP Paribas reportedly raised its price target to $399 following Nebius’ strong earnings, adding to the bullish analyst narrative. Why BNP Paribas Is Setting Its Sights on $399 for Nebius Stock
• Neutral Sentiment: A potential stock split is being discussed after the shares’ substantial appreciation. A split would not change Nebius’ underlying value or fundamentals, but could improve trading accessibility and investor attention. Stock-Split Watch: Is Nebius Next?
• Negative Sentiment: Valuation remains a significant concern. With NBIS trading near $237 after a powerful multiyear rally, investors question whether sales and future earnings growth justify the premium price. Nebius Stock Still Trades At A Premium
• Negative Sentiment: AI-bubble fears and bearish positioning continue to weigh on sentiment. Michael Burry reportedly shifted bearish positions in Nebius and other AI stocks into put options, while rising interest costs raise doubts about how much GPU pricing power will reach the bottom line. Michael Burry Swaps AI Shorts for Puts

Analyst Ratings Changes

Several research analysts have recently commented on the company. William Blair initiated coverage on Nebius Group in a report on Wednesday. They set an “outperform” rating for the company. Northland Securities upped their target price on shares of Nebius Group from $248.00 to $410.00 and gave the stock an “outperform” rating in a research report on Monday, July 20th. Weiss Ratings upgraded Nebius Group from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday. Piper Sandler initiated coverage on Nebius Group in a report on Monday, August 3rd. They set a “neutral” rating and a $224.00 price objective on the stock. Finally, BNP Paribas Exane upgraded shares of Nebius Group from a “neutral” rating to an “outperform” rating and increased their price target for the company from $260.00 to $399.00 in a research report on Thursday, September 24th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Nebius Group presently has an average rating of “Moderate Buy” and an average target price of $241.80.

Nebius Group Price Performance

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 business’s 50-day simple moving average is $217.94 and its 200-day simple moving average is $197.89. The stock has a market cap of $60.05 billion, a PE ratio of -7,909.03 and a beta of 4.23.

Nebius Group (NASDAQ:NBIS) last released its quarterly earnings data on Thursday, August 13th. The company reported ($0.12) earnings per share for the quarter, topping the consensus estimate of ($0.67) by $0.55. The business had revenue of $582.30 million during the quarter, compared to analysts’ expectations of $567.91 million. Nebius Group had a negative return on equity of 6.03% and a net margin of 4.55%.The business’s revenue was up 454% on a year-over-year basis. During the same quarter last year, the business posted $2.38 EPS. On average, research analysts expect that Nebius Group N.V. will post -3.76 EPS for the current fiscal year.

Insider Transactions at Nebius Group

In related news, CRO Marc Boroditsky sold 22,386 shares of the company’s stock in a transaction on Wednesday, July 15th. The stock was sold at an average price of $197.00, for a total value of $4,410,042.00. Following the sale, the executive directly owned 22,386 shares of the company’s stock, valued at $4,410,042. This represents a 50.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director John Wilson Iv Boynton sold 5,296 shares of the company’s stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $270.99, for a total transaction of $1,435,163.04. Following the completion of the sale, the director directly owned 415,844 shares in the company, valued at $112,689,565.56. This represents a 1.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 85,152 shares of company stock worth $20,677,385.

Institutional Investors Weigh In On Nebius Group

A number of institutional investors have recently modified their holdings of NBIS. BlackRock Inc. boosted its stake 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 purchasing an additional 1,593,684 shares in the last quarter. Situational Awareness LP bought a new stake in Nebius Group during the 2nd quarter valued at about $1,232,895,000. State Street Corp raised its holdings in Nebius Group by 16.2% in the second quarter. State Street Corp now owns 4,069,875 shares of the company’s stock worth $1,123,977,000 after buying an additional 568,415 shares during the last quarter. Jennison Associates LLC raised its holdings in Nebius Group by 134.3% in the second quarter. Jennison Associates LLC now owns 3,983,899 shares of the company’s stock worth $1,100,233,000 after buying an additional 2,283,676 shares during the last quarter. Finally, Accel Leaders 4 Associates L.P. bought a new position in shares of Nebius Group in the second quarter worth approximately $1,012,097,322. 21.90% of the stock is 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.