Previously a part of Yandex, “The Google of Russia”, Nebius Group (NBIS) underwent a large restructuring amid the breakout of conflict between Russia and Ukraine. In July 2024, Yandex offered all of its Russian property, retained its non-Russian companies, and pivoted the corporate to deal with infrastructure for synthetic intelligence.
Nebius Neocloud & AI Manufacturing facility is the Speak of the Business
Though the corporate is comparatively new, Nebius has grow to be one of many hottest and most-talked-about AI firms on the planet due to its “neocloud.” The time period neocloud refers to a cloud that’s constructed from the bottom up particularly for AI. In different phrases, not like Alphabet’s (GOOGL) “Google Cloud” and Amazon’s (AMZN) “Net Companies” (AWS), the Nebius neocloud shouldn’t be a generalist cloud however as an alternative is exactly centered on AI ecosystems. Conventional clouds have digital layers between the person and {hardware}, slowing the large calculations wanted to coach massive language fashions (LLMs) like OpenAI’s “ChatGPT.” Alternatively, Nebius’s “InfiniBand” community is the gold normal for AI as a result of it permits 1000’s of chips to behave as a single supercluster mind. In the meantime, Nebius sells complete “AI factories”, which embrace the info middle, cooling programs, and software program wanted to run huge AI coaching clusters.
NBIS: Offers, Offers, Offers
The primary proof that Nebius would grow to be an AI infrastructure juggernaut got here in September 2025 when the corporate inked a $17.4 billion deal to grow to be a key infrastructure companion for Microsoft’s (MSFT) AI cloud. Nevertheless, it didn’t finish there. Monday, Nebius scored a large, landmark, $27 billion, 5-year deal to supply Meta Platforms (META) with compute capability. For context, Nebius’ market cap is $28 billion, and these two offers alone are value a minimum of $44.4 billion!
Picture Supply: Zacks Funding Analysis
Nebius: A Chief in Agentic AI
One 12 months in the past, NVIDIA (NVDA) CEO Jensen Huang predicted that agentic AI would grow to be the subsequent wave of the AI revolution. The emergence and wild reputation of “OpenClaw” and different agentic AI merchandise show that Huang’s prediction was spot on. As soon as once more, NBIS was early to a sizzling development. In early 2026, Nebius acquired agentic AI search firm Tavily for ~$400 million. Moreover, final week, Nebius scored a $2 billion funding from NVDA. As a part of the settlement, the 2 powerhouses will collaborate to create a “best-in-class” agentic AI stack. Additionally, Nebius might be granted early entry to NVIDIA’s extremely coveted (and sometimes offered out) GPUs.
Nebius Blistering Income Development
Zacks Consensus Estimates predict that NBIS will develop income by a staggering 505% in 2026 and 190% in 2027. In the meantime, by 2029, Nebius revenues are anticipated to develop by a mind-boggling 60x – and that was earlier than the NVIDIA and META offers have been introduced!
Picture Supply: Zacks Funding Analysis
NBIS Technical View
NBIS shares are up greater than 15% right now as quantity turnover is swelling to greater than 2x the 50-day norm. Whereas the inventory is up rather a lot within the quick time period, the worth and quantity motion recommend that right now’s gap-up is buyable. Ought to the inventory escape of the 5-month congestion it’s been in, a $200 value goal is affordable.
Picture Supply: TradingView
Backside Line
Nebius group has efficiently shed its previous to emerge as a cornerstone of the subsequent technology of AI compute. With a slew of multi-billion offers and income projections reaching triple-digit progress, the corporate has solidified itself because the main AI infrastructure firm.
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