Nebius Group (NASDAQ:NBIS) Stock Price Down 14.9% Following Analyst Downgrade

Nebius Group N.V. (NASDAQ:NBIS) shares were down 14.9% on Thursday 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 $113.30 and last traded at $120.37. Approximately 46,319,103 shares changed hands during mid-day trading, an increase of 153% from the average session volume of 18,291,449 shares. The stock had previously closed at $141.52.

Several other equities analysts have also commented on NBIS. Robert W. Baird increased their target price on shares of Nebius Group from $250.00 to $340.00 and gave the company an “outperform” rating in a report on Thursday, August 13th. Freedom Capital raised Nebius Group from a “hold” rating to a “strong-buy” rating in a research note on Monday, July 20th. Northland Securities lifted their price objective on Nebius Group from $248.00 to $410.00 and gave the stock an “outperform” rating in a report on Monday, July 20th. Weiss Ratings lowered Nebius Group from a “sell (d+)” rating to a “sell (d)” rating in a research note on Friday, October 30th. Finally, William Blair assumed coverage on Nebius Group in a report on Wednesday, September 30th. They set an “outperform” rating for the company. Four research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $239.56.

Insider Transactions at Nebius Group

In related news, Director Wilson Boynton sold 333 shares of the company’s stock in a transaction on Thursday, October 29th. The stock was sold at an average price of $173.07, for a total value of $57,632.31. Following the sale, the director directly owned 403,189 shares of the company’s stock, valued at $69,779,920.23. This represents a 0.08% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Marc Boroditsky sold 7,000 shares of the company’s stock in a transaction dated Monday, October 12th. The stock was sold at an average price of $211.23, for a total transaction of $1,478,610.00. Following the completion of the sale, the executive directly owned 7,000 shares in the company, valued at $1,478,610. This represents a 50.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders purchased 1,718 shares of company stock valued at $280,207 and sold 158,823 shares valued at $38,168,832.

Key Headlines Impacting Nebius Group

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

• Positive Sentiment: Citigroup kept its Buy rating while lowering its price target to $265 from $324. The revised target still implies substantial potential upside, though it is not a guarantee of future performance. Article
• Positive Sentiment: Nebius is targeting $7 billion to $9 billion in annualized run-rate revenue by year-end 2026, up from $3 billion in June. Its growth ambitions and reported customer commitments support the longer-term opportunity, if the company can deliver the capacity on schedule. Article
• Neutral Sentiment: Nebius’s U.S. development footprint is outside Texas, reducing its direct exposure to potential Texas-specific permitting changes. However, investors are selling AI infrastructure stocks as a group, and tighter rules could affect projects beyond Texas. Article
• Negative Sentiment: Political and permitting risks are the clearest near-term headwinds: voters opposed data-center measures in 40 of 41 local ballots, raising concerns about whether large-scale expansion will face more resistance and delays. Article
• Negative Sentiment: The scale of the buildout adds execution and financing risk. Nebius expects to spend $20 billion to $25 billion this year, and an analysis of AI-cloud peers highlights concern over reliance on debt to fund capacity expansion. Article

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of NBIS. Confluence Investment Management LLC raised its holdings in Nebius Group by 2.0% in the 2nd quarter. Confluence Investment Management LLC now owns 2,475 shares of the company’s stock worth $684,000 after acquiring an additional 48 shares during the last quarter. Eastern Bank boosted its position in Nebius Group by 66.3% in the third quarter. Eastern Bank now owns 158 shares of the company’s stock worth $37,000 after purchasing an additional 63 shares during the last quarter. Hilton Head Capital Partners LLC boosted its holdings in shares of Nebius Group by 56.0% in the third quarter. Hilton Head Capital Partners LLC now owns 195 shares of the company’s stock worth $46,000 after buying an additional 70 shares during the last quarter. Jasper Ridge Partners L.P. grew its position in shares of Nebius Group by 0.5% during the 2nd quarter. Jasper Ridge Partners L.P. now owns 16,132 shares of the company’s stock valued at $4,455,000 after acquiring an additional 74 shares during the period. Finally, Ancora Advisors LLC grew its holdings in Nebius Group by 18.8% during the second quarter. Ancora Advisors LLC now owns 475 shares of the company’s stock valued at $131,000 after purchasing an additional 75 shares during the period. 21.90% of the stock is owned by hedge funds and other institutional investors.

Nebius Group Trading Down 14.9%

The stock has a 50 day moving average of $205.35 and a 200-day moving average of $177.49. 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 market capitalization of $30.46 billion, a P/E ratio of -4,011.00 and a beta of 4.63.

Nebius Group (NASDAQ:NBIS) last announced its quarterly earnings data on Thursday, August 13th. The company reported ($0.12) EPS for the quarter, beating the consensus estimate of ($0.67) by $0.55. The firm had revenue of $582.30 million for the quarter, compared to the consensus estimate of $567.91 million. Nebius Group had a net margin of 4.55% and a negative return on equity of 6.03%. The company’s revenue was up 454% on a year-over-year basis. During the same period last year, the firm earned $2.38 EPS. On average, research analysts predict 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.