Nebius Group (NBIS) AI Stock Analysis

• Market Cap: $25.24B
• Dividend Yield: N/A
• Average Volume (3M): 9.92M
• Price to Earnings (P/E): 105.0
• Beta (1Y): 2.03
• Revenue Growth: -87.55%
• EPS Growth: 336.73%
• Country: US
• Employees: 1,371
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): -0.43
• Shares Outstanding: 218,158,550
• 10 Day Avg. Volume: 5,851,769
• 30 Day Avg. Volume: 9,916,809
• PEG Ratio: 0.03
• Price to Book (P/B): 2.39
• Price to Sales (P/S): 66.24
• P/FCF Ratio: -13.85
• Enterprise Value/Market Cap: 1.11
• Enterprise Value/Revenue: 81.27
• Enterprise Value/Gross Profit: 130.54
• Enterprise Value/Ebitda: -79.30
• 1Y Price Target: $164.20
• Price Target Upside: 70.67% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $98.00 ▲(1.86% Upside)

Nebius Group's overall stock score is primarily impacted by its financial performance challenges, including declining revenues and weak cash flow management. The technical analysis shows mixed signals, with some bearish momentum. The high P/E ratio indicates overvaluation, further weighing down the score. While the earnings call provided a positive outlook with significant deals, the associated risks and challenges limit the overall score.

Positive Factors

Major Long-term Deals

These significant contracts with Meta and Microsoft enhance Nebius Group's market position and demonstrate strong demand for its services, potentially driving long-term revenue growth and stability.

Launch of New AI Cloud Products

The introduction of new AI cloud products expands Nebius Group's addressable market, positioning it to capture more business opportunities and strengthen its competitive advantage in the technology sector.

Strong Revenue Growth

The substantial revenue growth indicates robust business expansion and successful execution of strategic initiatives, enhancing Nebius Group's financial health and market presence.

Negative Factors

Capacity Constraints

Limited capacity could hinder Nebius Group's ability to fully capitalize on demand, potentially stalling revenue growth and impacting customer satisfaction if not addressed promptly.

Increased Capital Expenditures

The rise in capital expenditures reflects higher spending needs, which could pressure cash flow and financial flexibility, posing risks if revenue growth does not offset these costs.

Shareholder Dilution Concerns

Potential shareholder dilution from new equity issuance could negatively impact existing shareholders' value and signal financial strain, affecting investor confidence and stock performance.

Nebius Group Business Overview & Revenue Model

Company Description

Nebius Group N.V., operates as a technology company that engages in building full-stack infrastructure to service the global AI industry. Its businesses include Nebius, an AI-centric cloud platform built for intensive AI workloads. Nebius builds full-stack infrastructure for AI, including large-scale GPU clusters, cloud platforms, and tools and services for developers. The company's businesses also comprise Toloka AI, a data partner for various stages of generative AI development; TripleTen, an edtech player re-skilling people for careers in tech; and Avride, which develops autonomous driving technology for self-driving cars and delivery robots. The company was formerly known as Yandex N.V. and changed its name to Nebius Group N.V. in August 2024. Nebius Group N.V. was founded in 1989 and is headquartered in Amsterdam, the Netherlands with R&D hubs across Europe, North America and Israel.

How the Company Makes Money

Nebius Group generates revenue through several key streams. Primarily, the company earns money by offering subscription-based cloud services, which include infrastructure as a service (IaaS) and platform as a service (PaaS) solutions. This model allows clients to pay for resources based on usage, providing a steady income stream. Additionally, Nebius Group provides consulting and implementation services, assisting businesses in integrating their cloud solutions and optimizing their data analytics capabilities. The company also partners with other technology firms to enhance its service offerings, which can lead to revenue-sharing agreements and collaborative projects. Furthermore, Nebius Group may engage in product licensing, where it licenses its proprietary software to other businesses, creating another significant revenue channel.

Nebius Group Financial Statement Overview

Summary

Nebius Group faces significant financial challenges, with declining revenues and profitability, incomplete balance sheet data, and weak cash flow management. While there were periods of strong revenue growth and profitability, the recent downturn raises concerns about the company's financial health and sustainability.

Income Statement

The company has experienced significant volatility in its financial performance. The revenue has drastically declined from 2023 to 2024, leading to a negative EBIT and EBITDA. The net income has also turned negative, indicating financial distress. However, the gross profit margin remains relatively strong, suggesting some operational efficiency.

Balance Sheet

The balance sheet data for 2024 is incomplete, making it challenging to assess current financial stability. Historically, the company had a reasonable debt-to-equity ratio and a healthy equity base. However, the increase in net debt in previous years suggests rising leverage, which could pose risks if profitability continues to decline.

Cash Flow

The cash flow statement highlights concerns, especially with zero operating cash flow and free cash flow in 2024. Previously, the company had positive operating cash flows, but current data suggests cash management issues. The absence of capital expenditure figures further complicates the analysis.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	344.40M	117.50M	20.90M	13.50M	4.76B	2.95B
Gross Profit	214.40M	44.10M	-11.00M	-14.90M	2.43B	1.79B
EBITDA	-352.93M	-363.40M	-298.20M	-130.50M	109.87M	424.50M
Net Income	218.00M	-641.40M	241.30M	745.60M	-196.01M	333.49M
Balance Sheet
Total Assets	10.10B	3.55B	8.76B	8.28B	6.91B	6.93B
Cash, Cash Equivalents and Short-Term Investments	4.79B	2.45B	121.20M	1.13B	1.44B	3.20B
Total Debt	4.57B	49.70M	584.76M	1.39B	1.89B	1.46B
Total Liabilities	5.29B	294.90M	5.46B	3.74B	3.25B	2.25B
Stockholders Equity	4.81B	3.25B	3.29B	4.25B	3.46B	4.37B
Cash Flow
Free Cash Flow	-1.53B	-562.10M	746.40M	682.40M	-473.75M	108.23M
Operating Cash Flow	-155.00M	245.60M	829.80M	697.00M	124.62M	438.20M
Investing Cash Flow	-1.37B	311.60M	-1.21B	-403.10M	294.94M	-1.61B
Financing Cash Flow	4.86B	825.50M	375.60M	-100.30M	-1.14B	1.88B

Nebius Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 96.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NBIS, the sentiment is Positive. The current price of 96.21 is above the 20-day moving average (MA) of 88.66, below the 50-day MA of 97.09, and above the 200-day MA of 68.70, indicating a neutral trend. The MACD of -0.50 indicates Negative momentum. The RSI at 54.24 is Neutral, neither overbought nor oversold. The STOCH value of 80.78 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NBIS.

Nebius Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DOCN	73 Outperform	$4.94B	21.73	―	―	14.20%	204.86%
TWLO	70 Neutral	$21.13B	342.77	0.83%	―	12.84%	―
ORCL	66 Neutral	$556.67B	36.41	70.60%	1.00%	11.08%	29.56%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SNOW	54 Neutral	$80.26B	-57.86	-53.32%	―	28.48%	-19.12%
CRWV	47 Neutral	$38.84B	―	-29.17%	―	235.40%	19.90%
NBIS	46 Neutral	$25.24B	104.95	3.45%	―	-87.55%	336.73%

Nebius Group Corporate Events

Nebius Group Secures Major Contracts with Microsoft and Meta Amid Financial Growth

Nebius Group N.V. announced significant developments in its operations, including multi-billion dollar agreements with Microsoft and Meta to provide dedicated capacity from its new data center in Vineland, New Jersey, starting later this year. These contracts highlight Nebius’ capability to support large-scale enterprises and workloads, potentially enhancing its industry positioning. Despite a net loss of $119.6 million in Q3 2025, the company reported a net income of $278.6 million for the nine months ended September 30, 2025, primarily due to gains from the revaluation of its investment in ClickHouse. The financial results reflect the ongoing expansion of Nebius’ core infrastructure business, with increased operating costs and interest expenses.

The most recent analyst rating on (NBIS) stock is a Hold with a $94.00 price target. To see the full list of analyst forecasts on Nebius Group stock, see the NBIS Stock Forecast page.

Nebius Group Announces Major Equity Distribution Agreement

On November 12, 2025, Nebius Group N.V. announced an Equity Distribution Agreement with major financial institutions including Goldman Sachs, Morgan Stanley, BofA Securities, and Citigroup Global Markets. This agreement allows Nebius to issue and sell up to 25,000,000 Class A Ordinary Shares, enhancing its capital structure and potentially impacting its market positioning by increasing its financial flexibility.

The most recent analyst rating on (NBIS) stock is a Buy with a $150.00 price target. To see the full list of analyst forecasts on Nebius Group stock, see the NBIS Stock Forecast page.

Nebius Group Secures $2.9 Billion GPU Services Deal with Meta

On November 1, 2025, Nebius, Inc., a subsidiary of Nebius Group N.V., entered into a significant commercial agreement with Meta Platforms, Inc. to provide GPU infrastructure services over a five-year period. The agreement, valued at approximately $2.9 billion, involves deploying GPU services in two phases scheduled for December 2025 and February 2026. This collaboration is expected to enhance Nebius’s market position and financial stability, as the cash flow from the deal will support capital expenditures. The agreement includes standard provisions such as service level commitments and termination rights, ensuring both parties are protected.

The most recent analyst rating on (NBIS) stock is a Buy with a $150.00 price target. To see the full list of analyst forecasts on Nebius Group stock, see the NBIS Stock Forecast page.

Nebius Group Secures $3 Billion AI Infrastructure Deal with Meta

On November 11, 2025, Nebius Group N.V. announced its unaudited financial results for the third quarter ending September 30, 2025, revealing a substantial increase in revenues by 355% compared to the previous year. Despite this growth, the company reported significant losses, including a net loss from continuing operations of $119.6 million. Additionally, Nebius secured a $3 billion agreement with Meta to provide AI infrastructure over the next five years, highlighting its strategic positioning in the industry. The company also plans to initiate an at-the-market equity program to support future growth, indicating a focus on capital efficiency and expansion.

The most recent analyst rating on (NBIS) stock is a Buy with a $150.00 price target. To see the full list of analyst forecasts on Nebius Group stock, see the NBIS Stock Forecast page.

Avride Secures $375 Million Investment from Uber and Nebius

On October 22, 2025, Avride, a subsidiary of Nebius Group and a leader in autonomous driving technologies, announced securing up to $375 million in strategic investments and commitments from Uber and Nebius. This funding is set to accelerate Avride’s growth in autonomous vehicle technology, expand its fleet, and support AI-driven product development. The investment builds on Avride’s existing partnership with Uber, with plans to launch a robotaxi service in Dallas by the end of 2025. This development positions Avride to capitalize on significant market opportunities in autonomous transportation, enhancing its industry presence and offering stakeholders promising growth prospects.

The most recent analyst rating on (NBIS) stock is a Buy with a $137.00 price target. To see the full list of analyst forecasts on Nebius Group stock, see the NBIS Stock Forecast page.