Nebius Group (NASDAQ:NBIS) Stock Falls 7.2% on Analyst Downgrade

Shares of Nebius Group N.V. (NASDAQ:NBIS) fell 7.2% during mid-day trading on Thursday after Piper Sandler lowered their price target on the stock from $237.00 to $185.00. Piper Sandler currently has a neutral rating on the stock. Nebius Group traded as low as $155.73 and last traded at $159.17. 25,665,218 shares were traded during trading, an increase of 42% from the average daily volume of 18,047,283 shares. The stock had previously closed at $171.57.

Several other analysts also recently commented on the company. Rothschild & Co Redburn started coverage on Nebius Group in a research note on Monday, September 21st. They set a “sell” rating and a $84.00 target price on the stock. Citigroup upped their price target on Nebius Group from $278.00 to $324.00 and gave the company a “buy” rating in a report on Friday, August 14th. BNP Paribas Exane upgraded Nebius Group from a “neutral” rating to an “outperform” rating and lifted their price objective for the stock from $260.00 to $399.00 in a report on Thursday, September 24th. Robert W. Baird boosted their target price on Nebius Group from $250.00 to $340.00 and gave the stock an “outperform” rating in a research report on Thursday, August 13th. Finally, Truist Financial upgraded shares of Nebius Group to a “strong-buy” rating in a research note on Thursday, September 10th. Four research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, four have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $243.25.

Insider Transactions at Nebius Group

In other news, CTO Danila Shtan sold 14,546 shares of Nebius Group 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 transaction, the chief technology officer directly owned 260,217 shares of the company’s stock, valued at $60,932,412.72. The trade was a 5.29% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Wilson Boynton sold 7,260 shares of the firm’s stock in a transaction on Thursday, October 15th. The shares were sold at an average price of $177.63, for a total transaction of $1,289,593.80. Following the sale, the director owned 403,522 shares in the company, valued at $71,677,612.86. The trade was a 1.77% 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 three months, insiders have purchased 595 shares of company stock valued at $100,030 and have sold 158,490 shares valued at $38,111,200.

Nebius Group News Summary

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

• Positive Sentiment: Nebius secured a $3.5 billion senior secured bridge facility from Citi. Proceeds are intended for data-center development, GPU purchases and general corporate purposes, giving the company additional resources to expand its NVIDIA-powered AI cloud capacity. Reuters article on Nebius financing
• Positive Sentiment: Nebius launched public, live spot pricing for GPU compute, improving customer visibility into costs and potentially making its platform more competitive for customers with flexible AI workloads. Its NVIDIA-related AI-agent and robotics collaborations also provide validation of its technology ecosystem. Zacks article on Nebius compute pricing
• Positive Sentiment: Director Arne Grimme bought additional NBIS shares in recent transactions, including roughly $24,855 on October 21. The purchase was made under a pre-arranged Rule 10b5-1 plan, so it is only a modest confidence signal. SEC insider purchase filing
• Neutral Sentiment: The neocloud sell-off remains concentrated in companies such as Nebius and CoreWeave rather than spreading broadly to stock or credit markets. That limits systemic-contagion concerns, but does not remove the sector’s valuation and execution risks. Yahoo Finance article on contained neocloud rout
• Negative Sentiment: The Citi facility intensified concerns that Nebius is borrowing heavily to build capacity. Investors are questioning leverage, borrowing costs, capital expenditures and the possibility of excess AI-compute supply across the neocloud sector. Invezz article on Nebius debt concerns
• Negative Sentiment: Credit-market stress at CoreWeave, including elevated bond yields and credit-default-swap spreads, is weighing on investor sentiment toward comparable AI infrastructure companies such as NBIS. 247WallSt article on neocloud credit concerns
• Negative Sentiment: Piper Sandler lowered its Nebius price target from $237 to $185 and assigned a neutral rating, reinforcing the market’s more cautious view of valuation and financing risk. Piper Sandler target reduction

Institutional Investors Weigh In On Nebius Group

A number of institutional investors and hedge funds have recently bought and sold shares of NBIS. Allied Private Wealth LLC purchased a new position in shares of Nebius Group during the second quarter valued at $25,000. Sarver Vrooman Wealth Advisors purchased a new stake in shares of Nebius Group in the 2nd quarter worth approximately $28,000. GoalVest Advisory LLC bought a new position in shares of Nebius Group during the second quarter valued at approximately $28,000. Wealth Enhancement Trust Services Inc. increased its holdings in Nebius Group by 227.1% during the third quarter. Wealth Enhancement Trust Services Inc. now owns 157 shares of the company’s stock valued at $37,000 after buying an additional 109 shares during the period. Finally, Eastern Bank increased its holdings in Nebius Group by 66.3% during the third quarter. Eastern Bank now owns 158 shares of the company’s stock valued at $37,000 after buying an additional 63 shares during the period. 21.90% of the stock is owned by institutional investors.

Nebius Group Stock Down 7.2%

The company has a market cap of $40.27 billion, a P/E ratio of -5,303.90 and a beta of 4.18. 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 moving average is $221.10 and its 200 day moving average is $208.87.

Nebius Group (NASDAQ:NBIS) last released its quarterly earnings results on Thursday, August 13th. The company reported ($0.12) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.67) by $0.55. The business had revenue of $582.30 million for the quarter, compared to analysts’ expectations of $567.91 million. Nebius Group had a net margin of 4.55% and a negative return on equity of 6.03%. The company’s revenue was up 454% compared to the same quarter last year. During the same period last year, the business earned $2.38 EPS. As a group, equities analysts anticipate that Nebius Group N.V. will post -3.48 earnings per share for the current fiscal year.

Nebius Group Company Profile

Nebius Group N.V. is a technology company focused on providing cloud infrastructure and services for artificial intelligence and machine learning applications. Through its Nebius AI division, the company offers access to high-performance computing, graphics processing units (GPUs), storage, networking, and related tools designed to help businesses and developers train, deploy, and operate AI models.

The company also operates or supports other technology businesses, including Toloka, an AI data and evaluation platform; TripleTen, an online education provider focused on technology careers; and Avride, a developer of autonomous driving and delivery technologies.