Nebius Shares Rise 2.7% by Midday as Opening Gain Narrows

Nebius Group N.V. (Nasdaq: NBIS) shares rose 2.7% by 12:48 p.m. ET (16:48 UTC) Monday, surrendering most of a 6.7% opening gain after a steep decline Friday.

The AI cloud infrastructure company’s stock opened at $176.51, compared with its Oct. 16 close of $165.47. At the midday observation, shares traded at $169.91. That was $6.60 below the opening price, though still $4.44 above the previous close.

Nebius had closed Wednesday amid a broader technology selloff at $186.01 after losing $20.85 in that session. Its 12.18% decline Friday extended the retreat. Monday’s quote remained below the $221.07 close recorded Oct. 9.

Truist Securities had a Buy rating and a $355 price target on Nebius.

The company’s expansion involves substantial capital spending. Revenue for the quarter ended June 30, 2026, reached $582.3 million, up 454% from a year earlier. Nebius spent about $5.7 billion on property, equipment and intangible assets during the same period.

Advance payments featured in about 70% of Nebius’s second-quarter deals and covered 50% to 60% of the associated capital spending. The payments cover a portion of those costs, while Nebius continues to build the capacity promised to customers.

Nebius projects more than $9 billion in customer prepayments for 2026. That full-year projection is distinct from the $582.3 million in revenue recorded for the quarter ended June 30.

In August, Nebius raised approximately $5.75 billion in gross proceeds through convertible notes. The company plans to use the funds for data centers, graphics processors and other expansion, alongside the capital supported by customer prepayments.

On Oct. 19, Nebius announced a $10 million European expansion of its AI Builder Program, which began in September. The program includes computing grants for developers. NVIDIA is participating in community events, while Accel is helping connect teams with potential investors.

Most deals Nebius signed in the second quarter involve capacity expected to come online late in 2026. The company expects those agreements to contribute mainly to revenue in 2027.