Nebius Group’s Surge in Stock Price
Nebius Group (NASDAQ: NBIS) shares saw a remarkable increase of 99.7% in the first half of 2025, achieving this growth through June 30, according to S&P Global Market Intelligence. The company, re-established from Yandex, raised $700 million in December 2024 with backing from Nvidia (NASDAQ: NVDA) and is focused on building a European artificial intelligence “neocloud.”
Financial Performance and Investments
Nebius reported a staggering 385% revenue growth in Q1 2025 and 684% growth in annualized recurring revenue (ARR), reaching $249 million. Additionally, they took a majority stake in Toloka, a data provider backed by Jeff Bezos, further enhancing their competitive edge in the AI sector.
Market Position and Forecasts
Despite a volatile stock performance, with shares climbing over 60% in May and another 50% in June following a positive analyst endorsement, Nebius aims to achieve between $750 million and $1 billion in ARR by the end of 2025. Market analysts see significant embedded value in Nebius’ AI clusters, even as the stock trades at around 20 times this year’s revenue estimates.
