Nebius Group (NASDAQ:NBIS) Shares Down 5% on Disappointing Earnings

Key Points

• Nebius Group's shares fell 5% post-earnings announcement, trading as low as $62.01 after closing at $67.19, amidst a sharp decline in trading volume.
• The company reported a loss of $0.48 per share with revenues of $55.30 million, marking a significant increase but deeper losses compared to the previous year.
• Analysts have set varying price targets for the stock, with a consensus target of $70.80 and ratings ranging from "buy" to "sell."

Nebius Group N.V. (NASDAQ:NBIS - Get Free Report)'s stock price fell 5% on Wednesday following a dissappointing earnings announcement. The company traded as low as $62.01 and last traded at $63.80. 6,408,710 shares traded hands during mid-day trading, a decline of 50% from the average session volume of 12,910,135 shares. The stock had previously closed at $67.19.

The company reported ($0.48) earnings per share (EPS) for the quarter. The company had revenue of $55.30 million for the quarter. The company's revenue was up 385 compared to the same quarter last year. During the same quarter in the prior year, the company posted ($0.25) earnings per share.

Wall Street Analyst Weigh In

Several research firms recently issued reports on NBIS. Arete began coverage on shares of Nebius Group in a report on Thursday, June 5th. They set a "buy" rating and a $84.00 price objective for the company. Northland Securities set a $47.00 price objective on shares of Nebius Group and gave the stock an "outperform" rating in a report on Wednesday, May 21st. DA Davidson upped their price objective on shares of Nebius Group from $55.00 to $65.00 and gave the stock a "buy" rating in a report on Tuesday, August 5th. Arete Research raised shares of Nebius Group to a "strong-buy" rating in a report on Thursday, June 5th. Finally, BWS Financial upped their price objective on shares of Nebius Group from $80.00 to $90.00 and gave the stock a "buy" rating in a report on Friday, August 8th. Two analysts have rated the stock with a Strong Buy rating and five have given a Buy rating to the company. According to MarketBeat, Nebius Group currently has a consensus rating of "Buy" and an average target price of $70.80.

Institutional Trading of Nebius Group

Hedge funds have recently bought and sold shares of the stock. Signaturefd LLC lifted its holdings in shares of Nebius Group by 125.0% during the 2nd quarter. Signaturefd LLC now owns 450 shares of the company's stock worth $25,000 after acquiring an additional 250 shares during the period. SJS Investment Consulting Inc. acquired a new stake in shares of Nebius Group during the 2nd quarter valued at about $31,000. Assetmark Inc. boosted its position in shares of Nebius Group by 102.0% during the 2nd quarter. Assetmark Inc. now owns 602 shares of the company's stock valued at $33,000 after acquiring an additional 304 shares in the last quarter. LRI Investments LLC boosted its position in shares of Nebius Group by 85.4% during the 2nd quarter. LRI Investments LLC now owns 673 shares of the company's stock valued at $37,000 after acquiring an additional 310 shares in the last quarter. Finally, Oliver Lagore Vanvalin Investment Group acquired a new stake in shares of Nebius Group during the 2nd quarter valued at about $40,000. 21.90% of the stock is owned by institutional investors.

Nebius Group Stock Performance

The company has a debt-to-equity ratio of 0.31, a quick ratio of 14.70 and a current ratio of 14.70. The firm's 50-day moving average price is $54.85 and its two-hundred day moving average price is $39.57. The firm has a market capitalization of $15.60 billion, a price-to-earnings ratio of -116.11 and a beta of 3.36.

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.