Nebius Group (NASDAQ:NBIS) Stock Price Down 5.3% – Here’s What Happened

Nebius Group N.V. (NASDAQ:NBIS) shares were down 5.3% during trading on Tuesday. The company traded as low as $130.90 and last traded at $134.00. Approximately 19,473,815 shares traded hands during mid-day trading, an increase of 6% from the average session volume of 18,341,160 shares. The stock had previously closed at $141.45.

More Nebius Group News

Investors following NBIS have been watching these news items:

• Positive Sentiment: Third-quarter revenue rose 571% year over year to $980.8 million, ahead of expectations, while adjusted EBITDA reached $465.8 million and adjusted net income was $90.9 million. Management says AI demand remains strong. Reuters article
• Neutral Sentiment: The 2027 revenue outlook is $12 billion–$13 billion, broadly around analyst expectations. That supports the longer-term growth story, though delivery will depend on expanding infrastructure as planned. 2027 outlook article
• Negative Sentiment: Investors are also weighing the substantial capital required to build out AI infrastructure and questions about how Nebius will finance that expansion. That spending and the capacity delays appear to be outweighing the quarterly beat for now. Wall Street Journal article

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on the company. Piper Sandler cut their target price on Nebius Group from $237.00 to $185.00 and set a “neutral” rating for the company in a research note on Wednesday, October 21st. Truist Financial raised Nebius Group to a “strong-buy” rating in a research note on Thursday, September 10th. Zacks Research upgraded Nebius Group from a “hold” rating to a “strong-buy” rating in a report on Monday, October 19th. Freedom Capital upgraded shares of Nebius Group from a “hold” rating to a “strong-buy” rating in a report on Monday, July 20th. Finally, DA Davidson restated a “neutral” rating and issued a $175.00 price objective on shares of Nebius Group in a report on Thursday, August 13th. Four analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $246.00.

Nebius Group Price Performance

The stock has a market cap of $32.55 billion, a price-to-earnings ratio of -4,286.57 and a beta of 4.63. The company has a current ratio of 4.03, a quick ratio of 4.03 and a debt-to-equity ratio of 0.82. The company’s fifty day moving average is $198.00 and its two-hundred day moving average is $178.40.

Nebius Group (NASDAQ:NBIS) last released its quarterly earnings results on Thursday, August 13th. The company reported ($0.12) EPS for the quarter, topping the consensus estimate of ($0.67) by $0.55. Nebius Group had a negative return on equity of 6.03% and a net margin of 4.55%. The business had revenue of $582.30 million during the quarter, compared to analyst estimates of $567.91 million. During the same period last year, the business posted $2.38 earnings per share. The company’s quarterly revenue was up 454% on a year-over-year basis. As a group, research analysts predict that Nebius Group N.V. will post -3.19 earnings per share for the current year.

Insider Activity

In other Nebius Group news, Director Charles E. Ryan sold 50,000 shares of Nebius Group stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $265.53, for a total value of $13,276,500.00. Following the completion of the transaction, the director directly owned 272,533 shares of the company’s stock, valued at $72,365,687.49. The trade was a 15.50% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Andrey Korolenko sold 29,090 shares of the business’s stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $234.16, for a total transaction of $6,811,714.40. Following the sale, the insider owned 522,248 shares in the company, valued at $122,289,591.68. This trade represents a 5.28% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have acquired 1,718 shares of company stock worth $280,207 and have sold 158,823 shares worth $38,168,832.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in NBIS. BlackRock Inc. boosted its position in Nebius Group by 16.0% in the 2nd quarter. BlackRock Inc. now owns 11,531,270 shares of the company’s stock valued at $3,184,591,000 after buying an additional 1,593,684 shares during the period. Situational Awareness LP acquired a new stake in shares of Nebius Group in the second quarter valued at $1,232,895,000. State Street Corp boosted 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 valued at $1,123,977,000 after purchasing an additional 568,415 shares during the period. Jennison Associates LLC grew its stake in Nebius Group by 134.3% during the 2nd quarter. Jennison Associates LLC now owns 3,983,899 shares of the company’s stock worth $1,100,233,000 after purchasing an additional 2,283,676 shares in the last quarter. Finally, Accel Leaders 4 Associates L.P. acquired a new position in Nebius Group during the 2nd quarter worth $1,012,097,322. Hedge funds and other institutional investors own 21.90% of the company’s stock.

About Nebius Group

Nebius Group is a technology company focused on building infrastructure for artificial intelligence. Its core business, Nebius, offers cloud computing services and access to accelerated computing resources designed to help developers and organizations train and run AI models. The company also has businesses in areas including data services for AI, autonomous mobility and online education. Based in Amsterdam, Nebius serves customers internationally and is developing data center and computing capacity to support its AI cloud services.