Nebius Group (NASDAQ:NBIS) Issues Quarterly Earnings Results, Misses Estimates By $0.57 EPS

Nebius Group (NASDAQ:NBIS) released its quarterly earnings results on Thursday. The company reported ($0.99) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.42) by ($0.57), FiscalAI reports. The company had revenue of $227.70 million for the quarter, compared to analyst estimates of $246.05 million. Nebius Group had a net margin of 62.31% and a negative return on equity of 11.79%.

Here are the key takeaways from Nebius Group’s conference call:

• Nebius reported a very strong 2025, exceeding targets with Q4 revenue of $228M, >$1.2B in ARR at year-end, and positive group adjusted EBITDA in Q4 driven by an 830% YoY core cloud revenue increase.
• Demand and pricing remain robust: capacity was sold out in Q3/Q4 (and into Q1 2026), average new contract duration rose ~50%, and customers are scaling from hundreds to tens of thousands of GPUs.
• Company is accelerating supply, announcing nine new data centers and raising contracted power guidance from ~2 GW to >3 GW for 2026, targeting 800 MW–1 GW of connected capacity online by year-end.
• Nebius plans heavy investment with $16B–$20B CapEx in 2026; while ~60% is already funded, the remainder will rely on new debt, asset-backed financing or equity, creating financing and execution risk.
• Guidance is aggressive but mixed: Nebius reiterates a $7B–$9B ARR target for end-2026 and 2026 revenue of $3B–$3.4B with ~40% adjusted EBITDA margin, while EBIT is expected to remain negative as they invest and extend depreciation to five years.

Nebius Group Stock Down 2.3%

Shares of NASDAQ NBIS traded down $2.00 during mid-day trading on Thursday, reaching $86.61. 19,786,140 shares of the company were exchanged, compared to its average volume of 13,321,092. Nebius Group has a 52 week low of $18.31 and a 52 week high of $141.10. The company’s 50 day moving average price is $92.68 and its 200 day moving average price is $92.81. The stock has a market capitalization of $21.81 billion, a PE ratio of -112.31 and a beta of 3.90.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the company. Wall Street Zen cut Nebius Group from a “hold” rating to a “sell” rating in a research report on Saturday, November 15th. CICC Research initiated coverage on shares of Nebius Group in a report on Tuesday, November 11th. They set an “outperform” rating and a $143.00 price objective on the stock. Morgan Stanley assumed coverage on shares of Nebius Group in a report on Thursday, January 15th. They issued an “equal weight” rating and a $126.00 target price for the company. Weiss Ratings downgraded shares of Nebius Group from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, January 15th. Finally, DA Davidson reissued a “buy” rating and set a $150.00 target price on shares of Nebius Group in a report on Wednesday, November 12th. Two analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $142.38.

Hedge Funds Weigh In On Nebius Group

Hedge funds and other institutional investors have recently modified their holdings of the company. NewEdge Advisors LLC bought a new stake in Nebius Group in the 1st quarter worth approximately $40,000. Sunbelt Securities Inc. bought a new stake in shares of Nebius Group in the 3rd quarter worth approximately $54,000. Daiwa Securities Group Inc. bought a new stake in shares of Nebius Group in the 2nd quarter worth approximately $68,000. Geneos Wealth Management Inc. boosted its stake in shares of Nebius Group by 168.4% in the 2nd quarter. Geneos Wealth Management Inc. now owns 2,410 shares of the company’s stock valued at $133,000 after purchasing an additional 1,512 shares in the last quarter. Finally, Southport Management L.L.C. bought a new position in shares of Nebius Group during the 3rd quarter valued at $168,000. 21.90% of the stock is currently owned by hedge funds and other institutional investors.

More Nebius Group News

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

• Positive Sentiment: Strategic acquisition to bolster agentic AI search — Nebius agreed to acquire Tavily to add agentic search and real‑time search infrastructure to its AI cloud platform, strengthening product capabilities and addressable market in agentic AI. Nebius Targets Fast-Growing Agentic AI Market With Tavily Acquisition
• Positive Sentiment: Major capacity expansion in Europe — Nebius plans a 240MW data center near Lille, France, one of Europe’s largest, supporting long‑term revenue growth as enterprise AI demand rises. This underpins future scale for its AI cloud services. Amsterdam-based AI firm Nebius to build 240MW data centre near Lille, France
• Positive Sentiment: Bullish analyst commentary and buy-side interest — Several bullish pieces highlight Nebius as a key AI‑infrastructure play and brokers give a modestly favorable consensus, which can support sentiment if investors focus on long‑term growth. Nebius Group Earnings: Ignore The Noise, This Stock’s A Winner
• Neutral Sentiment: Company published Q4/FY press release, CEO letter and held an earnings webcast — Management provided full results and commentary; investors should listen to the call for guidance and CAPEX plan details. Nebius Reports Fourth Quarter and Full-Year 2025 Financial Results
• Negative Sentiment: Quarterly earnings and revenue missed expectations — Nebius reported EPS of ($0.99) vs. consensus ($0.42) and revenue of $227.7M vs. $246.1M expected, a clear near‑term earnings shock that likely pressured the shares. Nebius Group earnings / transcript
• Negative Sentiment: Sharp rise in GPU and data‑center capex — Management significantly increased capital spending to secure AI GPU capacity and data‑center footprint; while required for growth, the near‑term cash burn and margin pressure raise execution and financing risk. AI cloud firm Nebius posts surge in capex on GPU, data center expenses

Nebius Group Company Profile

Nebius Group N.V., a technology company, builds intelligent products and services powered by machine learning and other technologies to help consumers and businesses navigate the online and offline world. The company’s services include Nebius AI, an AI-centric cloud platform that offers infrastructure and computing capability for AI deployment and machine-learning oriented solutions; and Toloka AI that offers generative AI (GenAI) solutions at every stage of the GenAI lifecycle, such as data annotation and generation, model training and fine-tuning, and quality assessment of large language model for accuracy and reliability.