Nebius Group (NASDAQ:NBIS) Stock Falls 4.2% Following Insider Selling

Shares of Nebius Group N.V. (NASDAQ:NBIS) dropped 4.2% on Monday after an insider sold shares in the company. The stock traded as low as $230.51 and last traded at $232.57. 14,076,623 shares traded hands during trading, a decline of 20% from the average daily volume of 17,621,143 shares. The stock had previously closed at $242.81.

Specifically, insider Andrey Korolenko sold 29,090 shares of the 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 directly owned 522,248 shares of the company’s stock, valued at approximately $122,289,591.68. This trade represents a 5.28% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CTO Danila Shtan sold 14,546 shares of the business’s stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $234.16, for a total value of $3,406,091.36. Following the completion of the transaction, the chief technology officer directly owned 260,217 shares of the company’s stock, valued at approximately $60,932,412.72. This trade represents a 5.29% decrease in their position. The SEC filing for this sale provides additional information. In other news, CEO Arkadiy Volozh sold 37,778 shares of the company’s stock in a transaction dated Thursday, October 1st. The stock was sold at an average price of $234.16, for a total value of $8,846,096.48. Following the sale, the chief executive officer owned 785,236 shares in the company, valued at $183,870,861.76. This represents a 4.59% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website.

Analysts Set New Price Targets

Several brokerages recently weighed in on NBIS. Wall Street Zen upgraded Nebius Group from a “strong sell” rating to a “sell” rating in a research report on Sunday, August 16th. Truist Financial raised shares of Nebius Group to a “strong-buy” rating in a research note on Thursday, September 10th. Northland Securities lifted their target price on shares of Nebius Group from $248.00 to $410.00 and gave the company an “outperform” rating in a report on Monday, July 20th. BNP Paribas Exane raised shares of Nebius Group from a “neutral” rating to an “outperform” rating and increased their price target for the stock from $260.00 to $399.00 in a report on Thursday, September 24th. Finally, William Blair assumed coverage on shares of Nebius Group in a research report on Wednesday, September 30th. They set an “outperform” rating on the stock. Two investment analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $241.80.

Key Headlines Impacting Nebius Group

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

• Positive Sentiment: Nebius agreed to acquire Inferize to strengthen its Token Factory AI-inference platform. The deal is intended to reduce cold starts, improve GPU utilization and lower the cost of idle computing capacity as AI workloads scale. Nebius Strengthens Token Factory With Inferize Acquisition
• Positive Sentiment: Nebius reportedly has approximately $40 billion in customer commitments, including about $32 billion from Microsoft and Meta, with additional potential commitments of up to $17 billion. Microsoft’s contractual payments reportedly apply even if it does not fully use its reserved capacity, improving revenue visibility. Nebius Has $40 Billion of Customer Commitments
• Neutral Sentiment: Nebius is exploring partner-owned infrastructure to expand AI capacity while reducing the capital required for buildings and GPUs. This could improve returns on invested capital, although partners would receive part of the economics, potentially limiting margins. Can Nebius Earn Better Returns by Letting Partners Own the Hardware?
• Negative Sentiment: CEO Arkadiy Volozh sold 37,778 shares for approximately $8.85 million, reducing his holdings by 4.59%. CTO Danila Shtan sold 14,546 shares worth about $3.41 million, while insider Andrey Korolenko sold 29,090 shares valued at roughly $6.81 million. The sales were disclosed in SEC filings and may concern investors because multiple insiders sold at the same price.
• Negative Sentiment: Concerns about AI infrastructure valuations and potentially declining compute pricing remain an overhang. Investor Michael Burry has reportedly positioned for a substantial decline in AI-related stocks, including Nebius, reinforcing worries that the sector may be overvalued. Michael Burry Thinks the AI Bubble Will Burst

Nebius Group Stock Performance

The company has a market capitalization of $58.84 billion, a price-to-earnings ratio of -7,749.75 and a beta of 4.18. The firm has a fifty day simple moving average of $219.62 and a 200 day simple moving average of $200.43. The company has a debt-to-equity ratio of 0.82, a current ratio of 4.03 and a quick ratio of 4.03.

Nebius Group (NASDAQ:NBIS) last announced its earnings results 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. 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 the consensus estimate of $567.91 million. During the same period in the prior year, the company posted $2.38 EPS. The business’s quarterly revenue was up 454% on a year-over-year basis. On average, analysts anticipate that Nebius Group N.V. will post -3.48 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Nebius Group

A number of large investors have recently added to or reduced their stakes in NBIS. BlackRock Inc. lifted its holdings in Nebius Group by 16.0% during the second quarter. BlackRock Inc. now owns 11,531,270 shares of the company’s stock valued at $3,184,591,000 after purchasing an additional 1,593,684 shares in the last quarter. Situational Awareness LP purchased a new stake in shares of Nebius Group during the second quarter worth about $1,232,895,000. State Street Corp raised its position in shares of Nebius Group by 16.2% during the 2nd quarter. State Street Corp now owns 4,069,875 shares of the company’s stock worth $1,123,977,000 after purchasing an additional 568,415 shares during the last quarter. Jennison Associates LLC lifted its stake in Nebius Group by 134.3% in the 2nd quarter. Jennison Associates LLC now owns 3,983,899 shares of the company’s stock valued at $1,100,233,000 after buying an additional 2,283,676 shares in the last quarter. Finally, Accel Leaders 4 Associates L.P. purchased a new position in Nebius Group in the 2nd quarter valued at about $1,012,097,322. 21.90% of the stock is currently owned by institutional investors and hedge funds.

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.