Nebius (NBIS) Stock Climbs on Massive $1 Billion+ AI Computing Contract

Key Highlights

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Shares of Nebius Group advanced almost 3% in early trading following the announcement of a billion-dollar-plus computing partnership with Reflection AI
The multi-year agreement extends through 2029 and provides Reflection AI with access to Nebius’s infrastructure and Nvidia’s advanced GB300 AI processors
Reflection AI’s founding team includes former researchers from Google DeepMind, with Nvidia among its backers
Earlier this year, Reflection AI entered into a separate multi-billion-dollar computing arrangement with SpaceX
Wall Street analysts assign Nebius a Moderate Buy rating, with a consensus price target of $252.86 representing approximately 20% potential upside

Shares of Nebius Group (NBIS) climbed almost 3% during Tuesday’s premarket session following the company’s announcement of a computing partnership with artificial intelligence startup Reflection AI valued at over $1 billion. The agreement propelled NBIS above the $216 mark before regular trading commenced, partially offsetting Monday’s 4.16% decline that closed at $210.51.

Nebius Group N.V., NBIS

The partnership grants Reflection AI access to Nebius’s computational infrastructure, which includes Nvidia’s most recent GB300 AI processors. The arrangement extends through the end of 2029.

Reflection AI’s founding team consists of two former researchers from Google DeepMind. Nvidia counts among the company’s investors, and Reflection AI specializes in developing sophisticated open-source artificial intelligence models.

This marks Reflection’s second significant computing partnership this year. Previously in June, the startup finalized a multi-billion-dollar deal with SpaceX for access to identical Nvidia chip technology, with monthly costs reportedly reaching approximately $150 million through 2029.

According to reports from The Wall Street Journal, Reflection AI has engaged in discussions to secure $2.5 billion in funding at a $25 billion company valuation.

Computing Resources Drive Massive AI Industry Investment

Next-generation AI companies are committing substantial capital to secure computing capacity, as computational resources have emerged as a critical constraint in the sector. While demand for AI capabilities continues accelerating, semiconductor supply remains constrained, driving chip prices upward.

Reflection’s CTO and co-founder Ioannis Antonoglou said: “The need for open models is clear, and this additional compute capacity will allow Reflection to continue to build and train frontier AI models at scale.”

For Nebius, this partnership expands its portfolio of prominent customers. The Amsterdam-headquartered firm, which separated from Russian internet company Yandex in 2024, maintains existing computing contracts with Microsoft and Meta.

Analyst Outlook on NBIS

Based on TipRanks data, Nebius Group carries a Moderate Buy consensus rating derived from nine analyst assessments. Five analysts recommend Buy ratings, four suggest Hold positions, and zero recommend Sell.

The consensus price target stands at $252.86, suggesting potential appreciation of 20.12% from current trading levels.

Nebius operates as a provider of AI computing infrastructure and has established itself as a key supplier for companies building advanced AI models.

The Reflection partnership reinforces market signals that demand for computational infrastructure continues to accelerate.