Arete this morning initiated coverage of Nebius Group (NBIS) with a Buy rating and $84 price target and CoreWeave (CRWV) with a Neutral rating and $130 price target. The firm prefers Nebius to CoreWeave saying the stock’s embedded neo-cloud valuation is low. The direction of the stocks will depend on whether or not investors think there’s a shortage of graphics processing units, the analyst tells investors in a research note. Arete says CoreWeave is a purer play on artificial intelligence, with its thin float possibly exaggerating the bullish consensus around AI. Shares of Nebius are up 6%, or $2.26, to $41.65 in premarket trading while CoreWeave is down 3% to $158.25.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on NBIS:
- Nebius Group initiated with a Buy at Arete
- Nebius Group Secures $1 Billion in Convertible Notes to Boost AI Infrastructure
- Nebius Group Joins ClickHouse Series C to Boost AI Infrastructure Growth
- Diversification Strategy Sparks Bullish Impetus in Nebius Group Stock (NBIS)
- Mixed options sentiment in Nebius Group NV with shares up 0.33%