Nebius Group (NASDAQ:NBIS) Shares Down 6.7% on Analyst Downgrade

Shares of Nebius Group N.V. (NASDAQ:NBIS) dropped 6.7% during trading on Wednesday after Citigroup lowered their price target on the stock from $324.00 to $265.00. Citigroup currently has a buy rating on the stock. Nebius Group traded as low as $140.02 and last traded at $141.52. Approximately 22,569,650 shares were traded during mid-day trading, an increase of 24% from the average session volume of 18,162,902 shares. The stock had previously closed at $151.64.

Several other equities research analysts also recently commented on the company. BNP Paribas Exane raised Nebius Group from a “neutral” rating to an “outperform” rating and boosted their target price for the stock from $260.00 to $399.00 in a report on Thursday, September 24th. Northland Securities raised their price target on Nebius Group from $248.00 to $410.00 and gave the stock an “outperform” rating in a research note on Monday, July 20th. Weiss Ratings downgraded shares of Nebius Group from a “sell (d+)” rating to a “sell (d)” rating in a research report on Friday. Freedom Capital raised shares of Nebius Group from a “hold” rating to a “strong-buy” rating in a research note on Monday, July 20th. Finally, Truist Financial upgraded shares of Nebius Group to a “strong-buy” rating in a research report on Thursday, September 10th. Four investment 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 assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $239.56.

Insider Buying and Selling at Nebius Group

In other news, Director Wilson Boynton sold 7,260 shares of Nebius Group stock in a transaction dated Thursday, October 15th. The stock was sold at an average price of $177.63, for a total value of $1,289,593.80. Following the sale, the director directly owned 403,522 shares of the company’s stock, valued at approximately $71,677,612.86. The trade was a 1.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Andrey Korolenko sold 29,090 shares of the stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $234.16, for a total value of $6,811,714.40. Following the transaction, the insider owned 522,248 shares of the company’s stock, valued at $122,289,591.68. This represents a 5.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have purchased 1,718 shares of company stock worth $280,207 and have sold 158,823 shares worth $38,168,832.

More Nebius Group News

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

• Positive Sentiment: Nebius introduced live GPU spot pricing, capacity-reservation auctions and rebates for committed usage, while expanding grants and founder support for European AI startups. These efforts could improve customer visibility and help attract AI developers. Article: Nebius Group Unveils Live GPU Pricing And Builder Grants In Europe
• Neutral Sentiment: A director’s reported sale of 333 shares was made under a pre-arranged Rule 10b5-1 plan and reduced his holdings by just 0.08%, making it a limited signal about the company’s outlook. Article: Nebius Group Director Sells Shares
• Negative Sentiment: Democratic election victories in Texas have raised investor concerns about tighter oversight or a possible moratorium on data-center development. Texas represents a significant share of planned U.S. data-center power capacity, so restrictions could complicate industry expansion. The concern weighed on Nebius and other AI infrastructure stocks. Article: Texas Election and Planned Data Center Power
• Negative Sentiment: Investors are also questioning whether Nebius can deliver on its ambitious $9 billion annual recurring revenue goal. Rapid capacity expansion requires substantial investment, successful delivery and continued access to financing, raising execution and funding risks. Article: Nebius’s $9 Billion ARR Goal

Institutional Investors Weigh In On Nebius Group

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Allied Private Wealth LLC purchased a new stake in shares of Nebius Group in the 2nd quarter worth $25,000. Sound Income Strategies LLC raised its stake in Nebius Group by 62.5% in the 1st quarter. Sound Income Strategies LLC now owns 260 shares of the company’s stock worth $27,000 after acquiring an additional 100 shares during the last quarter. Sarver Vrooman Wealth Advisors purchased a new position in shares of Nebius Group in the second quarter worth about $28,000. GoalVest Advisory LLC acquired a new stake in Nebius Group during the 2nd quarter valued at approximately $28,000. Finally, Eastern Bank lifted its position 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 purchasing an additional 63 shares during the period. Institutional investors own 21.90% of the company’s stock.

Nebius Group Trading Down 6.7%

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 has a fifty day moving average price of $206.96 and a 200-day moving average price of $177.30. The firm has a market cap of $35.81 billion, a price-to-earnings ratio of -4,715.76 and a beta of 4.63.

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