TLDR
- Nebius Group (NBIS) stock was up 3.6% pre-open Monday, above Friday’s $165.47 close.
- Truist kept its Buy rating and $355 price target after Friday’s near 12% drop.
- Nebius launched a $10 million program for European AI developers with NVIDIA and Accel.
- CoreWeave debt worries and a Gartner warning pressured neocloud stocks last week.
- The stock is still below its 50-day average of $223.57 and its 52-week high of $299.86.
Nebius Group (NBIS) stock was up 3.6% in pre-open trading on Monday, October 19. That put it above Friday’s close of $165.47.
Friday was a rough session. The stock fell almost 12% as AI infrastructure names sold off.
Over the past week, Nebius lost about 21%. The Nasdaq dropped 2% on Friday and the S&P 500 fell 1%.
Monday looked calmer. The Nasdaq was up 1.1% and the S&P 500 was up 0.6% in early trading.
Truist Makes the Case
A Truist note on Sunday evening kept Buy ratings on Nebius and CoreWeave. It put a $355 price target on NBIS, more than double the pre-market price.
Truist said the collapse of the Firmus IPO rattled neocloud investors. It does not see that as a sign of weakness for AI cloud firms with contracted backlogs.
The firm also called Nebius’s 4.5x projected 2028 EV/Sales multiple justified. It cited above-average revenue growth expected through that year.
Nebius also launched a $10 million program for European AI developers. It covers compute grants, capital access and community resources, built with NVIDIA and Accel.
Director Arne Grimme bought 148 stock units at $169.99. The buy was small and made under a pre-arranged Rule 10b5-1 plan.
What Pushed the Stock Down
CoreWeave’s debt concerns spread through the AI cloud group. Investors started asking how GPU providers will pay for fast growth.
A Gartner warning added pressure, saying most neocloud companies may not survive on their own. The Fear & Greed reading also slid toward “Extreme Fear.”
Insiders sold 151,230 units worth about $36.8 million over 90 days. CEO Arkadiy Volozh sold 37,778 and CTO Danila Shtan sold 14,546, both at $234.16 on October 1.
The stock sits below its 50-day average of $223.57 and its 200-day average of $206.66. Its 52-week range runs from $73.52 to $299.86.
Last quarter’s revenue was $582.3 million, up 454% from a year ago. That beat the $567.91 million estimate, and the $0.12 loss per share beat the expected $0.67 loss.
Analysts rate the stock “Moderate Buy” with an average target of $245.69. Of 22 analysts, 15 say Buy or Strong Buy, five say Hold and two say Sell.
Cyndeo Wealth Partners lifted its stake by 1,180% in the third quarter, to about $2.45 million. Institutions own 21.9% of the company.
Nebius was up 3.6% pre-open Monday from its $165.47 close. The 52-week high of $299.86 remains well above that level.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
