Nebius Group (NASDAQ:NBIS) Stock Price Down 5.9% – Here’s Why

Nebius Group N.V. (NASDAQ:NBIS)’s share price traded down 5.9% during mid-day trading on Thursday . The company traded as low as $207.30 and last traded at $215.62. Approximately 24,693,826 shares were traded during trading, an increase of 50% from the average session volume of 16,430,836 shares. The stock had previously closed at $229.18.

Key Stories Impacting Nebius Group

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

• Positive Sentiment: Nebius highlighted growing demand in its AI cloud business by celebrating the winners of its expanded AI Discovery Awards, which showcased startups using AI in healthcare and life sciences and may support Nebius’ positioning in high-value inference workloads. Nebius celebrates healthcare and life sciences innovators at expanded AI Discovery Awards
• Neutral Sentiment: Recent commentary says Nebius still has strong revenue growth and a record customer pipeline, but the stock is being evaluated against a lofty valuation as AI infrastructure names stay volatile. Will Nebius’ Strong Customer Pipeline Drive Future Growth?
• Negative Sentiment: Meta’s reported plan to sell AI cloud capacity directly to external customers is seen as a direct competitive threat to Nebius and other neocloud providers, pressuring sentiment across the group. Why Meta’s cloud business would be ‘very bad’ for these 2 companies
• Negative Sentiment: Several reports this week said Nebius fell sharply after Meta’s cloud expansion news, with investors worried that the company’s biggest customer could become a bigger competitor and squeeze future growth. Nebius stock is crashing, and it has its biggest customer to blame

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on NBIS shares. Bank of America raised their price target on Nebius Group from $240.00 to $280.00 and gave the stock a “buy” rating in a research report on Monday, June 8th. Citigroup raised their price objective on Nebius Group from $169.00 to $287.00 and gave the stock a “buy” rating in a report on Friday, May 15th. Citizens Jmp boosted their price target on Nebius Group from $175.00 to $270.00 and gave the stock a “market outperform” rating in a research report on Thursday, May 14th. Cantor Fitzgerald initiated coverage on shares of Nebius Group in a research note on Thursday, April 9th. They set an “overweight” rating and a $129.00 price objective for the company. Finally, Wall Street Zen raised Nebius Group from a “strong sell” rating to a “sell” rating in a report on Saturday, May 16th. Nine equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $203.25.

Nebius Group Stock Performance

The company has a quick ratio of 8.33, a current ratio of 8.33 and a debt-to-equity ratio of 1.16. The firm has a 50-day moving average of $217.32 and a two-hundred day moving average of $143.43. The company has a market capitalization of $54.56 billion, a PE ratio of 69.56 and a beta of 4.10.

Nebius Group (NASDAQ:NBIS) last announced its quarterly earnings results on Thursday, May 14th. The company reported ($0.23) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.77) by $0.54. Nebius Group had a net margin of 95.27% and a negative return on equity of 9.11%. The firm had revenue of $399.00 million for the quarter, compared to the consensus estimate of $375.13 million. Nebius Group’s revenue for the quarter was up 684.0% compared to the same quarter last year. Research analysts anticipate that Nebius Group N.V. will post -1.91 EPS for the current year.

Insider Buying and Selling

In other news, CTO Danila Shtan sold 15,678 shares of Nebius Group stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $238.96, for a total value of $3,746,414.88. Following the sale, the chief technology officer directly owned 291,700 shares of the company’s stock, valued at $69,704,632. The trade was a 5.10% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Marc Boroditsky sold 10,776 shares of the company’s stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $276.20, for a total transaction of $2,976,331.20. Following the sale, the executive directly owned 26,886 shares of the company’s stock, valued at $7,425,913.20. The trade was a 28.61% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 626,887 shares of company stock worth $124,696,143 in the last 90 days.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Royal Bank of Canada acquired a new stake in shares of Nebius Group during the 1st quarter worth approximately $1,628,000. Millennium Management LLC purchased a new stake in Nebius Group during the 1st quarter worth approximately $11,563,000. NewEdge Advisors LLC acquired a new stake in shares of Nebius Group in the first quarter valued at $40,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC acquired a new stake in Nebius Group in the 1st quarter valued at about $9,084,000. Finally, Daiwa Securities Group Inc. acquired a new stake in Nebius Group in the second quarter valued at approximately $68,000. Institutional investors and hedge funds own 21.90% of the company’s stock.

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.