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Nebius Group (NBIS) reported mixed fourth-quarter results, with revenue of $227.7 million and an EPS of -$0.68, both missing consensus estimates. However, the company achieved remarkable year-over-year revenue growth, with group revenue up 547% and its core AI cloud business growing over 800%, now accounting for 94% of total revenue. Notably, Nebius posted its first positive adjusted EBITDA of $15 million, with its AI cloud business contributing $51.8 million at a 24% margin. The company has ambitious goals, targeting an annualized run-rate revenue of $7 billion to $9 billion by 2026, supported by over 2 gigawatts of contracted power and plans to quadruple capacity by 2026. A $3.96 billion convertible notes offering is funding data center expansion, AI infrastructure, and GPU procurement, while a new AI factory in Finland will add up to 310 MW of capacity. Nebius has secured $46 billion in contracted deal value, including major agreements with Meta ($27 billion), Microsoft ($17.4 billion, with options to $19.4 billion), and a $2 billion equity investment from Nvidia. Analysts remain optimistic, with Bank of America initiating a Buy rating and a $150 price target, while others raised targets to $200, citing projected revenue growth of 501% in 2026 and positive operating margins by FY27. Despite insider stock sales totaling $7.75 million and short-term execution risks, Nebius' stock has surged 485.24% over the past year, reflecting strong investor confidence in its long-term growth potential in the AI Infrastructure-as-a-Service market.
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Recent news for NBIS

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CoreWeave, Nebius Get Fresh Upside Calls As BofA Bets Bigger On AI Compute Boom

Analyst raises PT for CoreWeave and Nebius reflecting CoreWeave's new contracts with Meta, Anthropic, and Nebius' deals with Meta, Microsoft.

Nebius Stock Hits New Highs As Software Sector Recovers

Nebius Group NV (NASDAQ:NBIS) shares are popping Monday as software‑related names rebound from last week's sell-off, with investors stepping back in after sharp declines across the sector.

About NBIS

Nebius is a vertically integrated cloud provider focusing on AI and high-performance computing. It is a carve-out of the previous Russian tech firm Yandex, following the Russian sanctions since the Ukraine-Russia war. Nebius designs and operates its ... Read more

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