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NBIS Stock Analysis: Hold (Score 44.6/100) | Blank Capital Research | Blank Capital Research
NBIS
Nebius Group N.V.
$145.30
+8.97 (+6.58%)
Score44.6
Data as of Apr 6, 2026
NBIS
Nebius Group N.V.
TechnologyComputer Software
$145.30
+8.97 (+6.58%)
Open $134.89High $149.82Low $134.89Prev $136.33Vol ---52W: $18.31 – $141.10
Catalyst IntelligenceBullish Factor
Context:Accumulation identified following news: "5 Genius AI Stock Picks (Hint: Nvidia Is One of Them)". This headline is the primary catalyst for the 6.6% move.
Hold
Composite score
01234567890123456789.0123456789
Global rank
#647
Percentile
Top 15%
Business quality
27th
percentile
Standard operational efficiency. The business maintains stable margins and returns in line with broader market averages.
Relative valuation derived from Technology sector median benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Multiples adjusted for extreme outliers and non-recurring volatility.
Auditing capital efficiency...
Quality Profile Audit
Score: 26.9GRADE F
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation.
Return on Equity
Profit generated per dollar of shareholder equity
-78.8%
Sector: -1.4%
Dividend Analysis audit
No Dividend
This company does not currently pay a dividend.
Analyst Projections
Analyst Consensus
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Based on our 6-factor quantitative model, Nebius Group N.V. (NBIS) receives a "Hold" rating with a composite score of 44.6/100, ranked #647 out of 4446 stocks. Key factor scores: Quality 27/100, Value 37/100, Momentum 83/100. This is quantitative analysis only — not investment advice.
Nebius Group N.V. (NBIS) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does Nebius Group N.V. Do?
Yandex 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 operates through Search and Portal, Taxi, Yandex.Market, Media Services, Classifieds, and Other Business Units and Initiatives segments. It provides locally relevant search and information services. The company also develops on-demand transportation, delivery, and navigation services and products, as well as operates in the e-commerce, online entertainment, and cloud computing markets to address the needs of customers in Russia and various international markets. In addition, it operates Yandex.Plus, a subscription loyalty program; offers fintech instruments, such as payment and financial services; and advertising services. Further, the company operates classifieds platforms for the sale of used and new cars, motorcycles, commercial vehicles, and spare parts; and sale and rental of apartments, houses, and commercial property for private individuals, developers, and realtors, as well as a long-term apartment rental platform to manage pre-contract rental processes and subsequent administration of the payments. Additionally, it operates Yandex Zen, a social infotainment platform that brings together content creators and users; and Yandex Cloud, a cloud platform that provides infrastructure, storage, machine learning, and development tools to build and enhance cutting-edge digital services and applications for B2B customers and individual developers. The company was founded in 1989 and is based in Schiphol, the Netherlands. Nebius Group N.V. (NBIS) is classified as a large-cap stock in the Technology sector, specifically within the Computer Software industry. The company is led by CEO Arkady Volozh and employs approximately 26,361 people. With a market capitalization of $25.8B, NBIS is one of the prominent companies in the Technology sector.
Nebius Group N.V. (NBIS) Stock Rating — Hold (April 2026)
As of April 2026, Nebius Group N.V. receives a Hold rating with a composite score of 44.6/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.NBIS ranks #647 out of 4,446 stocks in our coverage universe. Within the Technology sector, Nebius Group N.V. ranks #51 of 584 stocks, placing it in the top 10% of its Technology peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
NBIS Stock Price and 52-Week Range
Nebius Group N.V. (NBIS) currently trades at $145.30. The stock gained $8.97 (6.6%) in the most recent trading session. The 52-week high for NBIS is $141.10, which means the stock is currently trading 3.0% from its annual peak. The 52-week low is $18.31, putting the stock 693.6% above its annual trough. Recent trading volume was 25.7M shares, indicating strong institutional interest and high liquidity.
Is NBIS Overvalued or Undervalued? — Valuation Analysis
Nebius Group N.V. (NBIS) carries a value factor score of 37/100 in the Blank Capital model, signaling premium valuation that prices in significant future growth. The price-to-book ratio stands at 9.13x, versus the sector average of 3.16x. The price-to-sales ratio is 63.20x, compared to 1.06x for the average Technology stock.
At current multiples, Nebius Group N.V. trades at a premium to most Technology peers. This elevated valuation may be justified if the company can sustain above-average growth rates and profitability, but it also creates downside risk if earnings disappoint expectations.
Nebius Group N.V. Profitability — ROE, Margins, and Quality Score
Nebius Group N.V. (NBIS) earns a quality factor score of 27/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is -78.8%, compared to the Technology sector average of -1.4%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at -72.3% versus the sector average of -1.0%.
On a margin basis, Nebius Group N.V. reports gross margins of 37.5%, compared to 50.9% for the sector. The operating margin is -375.1% (sector: -0.5%). Net profit margin stands at -545.9%, versus -1.5% for the average Technology stock. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.
NBIS Debt, Balance Sheet, and Financial Health
Nebius Group N.V. has a debt-to-equity ratio of 0.0%, compared to the Technology sector average of 43.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. Total debt on the balance sheet is $6M. Cash and equivalents stand at $2.45B.
NBIS has a beta of 2.44, meaning it is more volatile than the broader market — a $10,000 investment in NBIS would be expected to move 144.4% more than the S&P 500 on any given day. The stability factor score for Nebius Group N.V. is 19/100, suggesting elevated price swings that may be unsuitable for conservative portfolios.
Nebius Group N.V. Revenue and Earnings History — Quarterly Trend
In TTM 2026, Nebius Group N.V. reported revenue of $118M and earnings per share (EPS) of $-2.28. Net income for the quarter was $-641M. Gross margin was 37.5%. Operating income came in at $-441M.
In FY 2024, Nebius Group N.V. reported revenue of $118M and earnings per share (EPS) of $-2.28. Net income for the quarter was $-641M. Gross margin was 37.5%. Revenue grew 462.2% year-over-year compared to FY 2023. Operating income came in at $-441M.
In FY 2023, Nebius Group N.V. reported revenue of $21M and earnings per share (EPS) of $0.65. Net income for the quarter was $266M. Gross margin was -52.6%. Revenue grew -99.7% year-over-year compared to FY 2022. Operating income came in at $-328M.
In FY 2022, Nebius Group N.V. reported revenue of $7.08B and earnings per share (EPS) of $1.52. Net income for the quarter was $646M. Gross margin was -110.4%. Revenue grew 48.6% year-over-year compared to FY 2021. Operating income came in at $180M.
Over the past 8 quarters, Nebius Group N.V. has experienced revenue contraction from $8.87T to $118M. Investors analyzing NBIS stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
NBIS Dividend Yield and Income Analysis
Nebius Group N.V. (NBIS) does not currently pay a dividend. This is common among growth-oriented companies in the Computer Software industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Technology dividend stocks may want to explore other Technology stocks or use the stock screener to filter by dividend yield.
NBIS Momentum and Technical Analysis Profile
Nebius Group N.V. (NBIS) has a momentum factor score of 83/100, indicating strong price momentum with the stock outperforming the majority of the market over recent periods. Stocks with high momentum scores have historically tended to continue their outperformance in the near term. The investment factor score is 65/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 19/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
NBIS vs Competitors — Technology Sector Ranking and Peer Comparison
Comparing NBIS against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full NBIS vs S&P 500 (SPY) comparison to assess how Nebius Group N.V. stacks up against the broader market across all factor dimensions.
NBIS Next Earnings Date
No upcoming earnings date has been announced for Nebius Group N.V. (NBIS) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy NBIS? — Investment Thesis Summary
Nebius Group N.V. presents a balanced picture with arguments on both sides. The quality score of 27/100 flags below-average profitability. The value score of 37/100 indicates premium valuation. Price momentum is positive at 83/100, suggesting the trend favors buyers. High volatility (stability score 19/100) increases portfolio risk.
In summary, Nebius Group N.V. (NBIS) earns a Hold rating with a composite score of 44.6/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on NBIS stock.
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Institutional Research Dossier
Nebius Group N.V. (NBIS) Deep Dive Analysis
Published on March 24, 2026
Action RatingHold
Sections
Executive Summary
We maintain a Hold rating on Nebius Group N.V. (NBIS), driven by the significant operational losses and negative free cash flow despite a high momentum score. The company's transition and restructuring following its separation from Yandex N.V. introduces substantial uncertainty regarding its future profitability and competitive positioning, warranting a cautious approach.
While NBIS possesses a potentially valuable cloud computing platform (Yandex Cloud) and other technology assets, its current financial performance and the inherent risks associated with its ongoing transformation preclude a more bullish stance. The high momentum score suggests short-term market optimism, but the underlying fundamentals require substantial improvement to justify a higher valuation.
Business Strategy & Overview
Nebius Group N.V., formerly a part of Yandex N.V., operates as a technology company with a diverse portfolio of products and services. Its core business segments include search and portal, taxi, e-commerce (Yandex.Market), media services, classifieds, and cloud computing (Yandex Cloud). The company's strategy revolves around leveraging machine learning and other advanced technologies to provide locally relevant and intelligent solutions to consumers and businesses, primarily in Russia and select international markets. The recent restructuring and separation from Yandex N.V. marks a pivotal shift, requiring NBIS to establish its independent operational framework and strategic direction.
Yandex Cloud, a key component of NBIS's business, offers a comprehensive suite of cloud computing services, including infrastructure, storage, machine learning tools, and development platforms. This segment targets B2B customers and individual developers, aiming to capitalize on the growing demand for cloud-based solutions. The company also operates Yandex Zen, a social infotainment platform, further diversifying its revenue streams and user engagement. The success of NBIS hinges on its ability to effectively manage its transition, scale its cloud computing business, and maintain its competitive edge in the rapidly evolving technology landscape.
The company's historical reliance on the broader Yandex ecosystem presents both opportunities and challenges. While the established brand recognition and existing user base provide a foundation for growth, NBIS must now demonstrate its ability to operate independently and attract new customers. The strategic focus on cloud computing and other high-growth areas reflects an effort to adapt to changing market dynamics and capitalize on emerging opportunities. However, the execution of this strategy will be critical in determining the company's long-term success.
NBIS's business strategy also involves a strong emphasis on localization, tailoring its products and services to meet the specific needs of its target markets. This approach is particularly evident in its search and portal business, where it competes with global players by offering locally relevant content and information. The company's on-demand transportation and delivery services also reflect this localized strategy, catering to the unique demands of urban environments. The ability to effectively balance global trends with local preferences will be crucial for NBIS to maintain its competitive advantage and drive sustainable growth.
Execution Benchmarks audit
Gross Margin
Core pricing power
37.5%
Sector: 50.9%
-26% VS SCTR
Economic Moat Analysis
Nebius Group's economic moat is currently assessed as Narrow. While the company possesses certain competitive advantages, their sustainability and breadth are questionable given the recent restructuring and the intensely competitive nature of the technology industry. The primary sources of its moat are rooted in intangible assets and, to a lesser extent, network effects within specific business segments.
The Yandex brand, particularly in the Russian market, carries significant recognition and trust, representing a valuable intangible asset. This brand equity provides a competitive edge in attracting and retaining users for its search, portal, and other consumer-facing services. However, the separation from Yandex N.V. introduces uncertainty regarding the future strength and relevance of this brand association. Furthermore, the company's proprietary technologies, particularly in machine learning and artificial intelligence, contribute to its competitive differentiation. These technologies underpin its search algorithms, cloud computing services, and other innovative offerings. However, the rapid pace of technological advancement necessitates continuous investment and innovation to maintain this advantage.
Network effects play a role in certain segments, such as its taxi and classifieds businesses, where the value of the platform increases as more users and participants join. However, these network effects are not as strong or pervasive as those enjoyed by dominant players in global markets. The company faces intense competition from both domestic and international rivals, limiting its ability to fully capitalize on network effects. Switching costs for consumers using Yandex's search and portal services are relatively low, making it easy for users to switch to alternative providers. However, switching costs may be higher for businesses using Yandex Cloud, particularly those that have integrated their operations with the platform's infrastructure and tools. This provides a degree of customer stickiness and recurring revenue.
The company's cost structure is not particularly advantageous compared to its competitors. Its gross margins are lower than the sector average, indicating a lack of significant cost advantages. Furthermore, the company's operating margins are significantly negative, reflecting high operating expenses and a lack of profitability. Efficient scale is not a major factor in most of its business segments, as the company operates in markets with numerous competitors and relatively low barriers to entry. The restructuring and separation from Yandex N.V. may also disrupt existing economies of scale and increase operating costs in the short term. Therefore, while NBIS possesses some elements of a narrow moat, its long-term sustainability is uncertain and dependent on its ability to successfully execute its strategic plan and maintain its competitive advantages in a rapidly evolving market.
Financial Health & Profitability
Nebius Group's financial health presents a mixed picture, characterized by a strong cash position but significant operational losses and negative free cash flow. The company's revenue for the latest fiscal year (FY2024) was $117.50 million, a substantial increase from $20.90 million in FY2023, but significantly lower than the $7.08 billion reported in FY2022. This volatility reflects the impact of the restructuring and the changing scope of the company's operations. The net income for FY2024 was $-641.40 million, a significant loss compared to the $265.90 million profit in FY2023 and the $646.22 million profit in FY2022. This decline in profitability is a major concern, indicating the challenges the company faces in generating sustainable earnings.
The company's EBITDA for FY2024 was $-371.70 million, reflecting the operational losses. The free cash flow (FCF) for FY2024 was $-892.69 million, indicating that the company is consuming cash at a rapid rate. This negative FCF raises concerns about the company's ability to fund its operations and investments in the long term. The company's total cash position is $2.45 billion, providing a buffer to absorb these losses. However, the current rate of cash burn is unsustainable and requires immediate attention. The company's total debt is relatively low at $6.10 million, indicating a conservative approach to leverage.
Comparing the company's financial metrics to the technology sector reveals significant disparities. The company's P/E and EV/EBITDA ratios are not applicable due to its negative earnings and EBITDA. The company's ROE is -78.9%, significantly lower than the sector average of -1.5%. This indicates a poor return on equity and reflects the company's operational losses. The company's gross margin is 37.5%, lower than the sector average of 51.2%. This suggests that the company's cost structure is not as efficient as its peers. The company's operating margin is -375.1%, significantly lower than the sector average of -0.5%. This highlights the company's inability to generate profits from its core operations. The company's net margin is -545.9%, significantly lower than the sector average of -1.5%. This further underscores the company's poor profitability.
Analyzing the quarterly financial history reveals a significant decline in revenue and profitability following FY2022. The company's gross margin has fluctuated significantly, reflecting the changing mix of its business segments and the impact of the restructuring. The company's operating margin has consistently been negative, indicating a lack of operational efficiency. The company's free cash flow has also been volatile, reflecting the impact of investments and divestitures. Overall, Nebius Group's financial health is weak, characterized by significant operational losses, negative free cash flow, and poor profitability metrics. The company needs to improve its operational efficiency, reduce its cash burn, and generate sustainable earnings to ensure its long-term viability.
Valuation Assessment
Valuing Nebius Group N.V. presents a significant challenge due to its current financial performance and the ongoing restructuring. Traditional valuation metrics, such as P/E and EV/EBITDA, are not applicable due to the company's negative earnings and EBITDA. Furthermore, the company's free cash flow is also negative, making it difficult to assess its intrinsic value using discounted cash flow (DCF) analysis. The company's market capitalization is $29.76 billion, which appears high relative to its current revenue of $117.50 million and its significant operational losses. This suggests that the market is pricing in significant future growth potential, particularly in its cloud computing business.
The company's valuation is heavily dependent on its ability to successfully execute its strategic plan and generate sustainable earnings. If the company can significantly improve its operational efficiency, reduce its cash burn, and grow its revenue, particularly in its cloud computing segment, then its current valuation may be justified. However, if the company fails to achieve these goals, then its valuation is likely to be unsustainable. The company's high momentum score of 91/100 suggests that the market is currently optimistic about its future prospects. However, this optimism may be misplaced if the company's underlying fundamentals do not improve.
Compared to the technology sector, Nebius Group's valuation appears expensive. The sector's average P/E ratio is 45.3x, while Nebius Group's P/E ratio is not applicable due to its negative earnings. The sector's average EV/EBITDA ratio is 13.0x, while Nebius Group's EV/EBITDA ratio is also not applicable due to its negative EBITDA. This suggests that Nebius Group is trading at a premium to its peers, despite its poor financial performance. The company's valuation is likely being driven by its potential for future growth and its strategic importance in the cloud computing market.
Given the company's current financial performance and the uncertainties surrounding its future prospects, its valuation is difficult to justify. The company needs to demonstrate significant improvements in its operational efficiency, profitability, and cash flow generation to support its current market capitalization. Until then, the stock appears overvalued and carries significant downside risk. A more conservative valuation approach would be to focus on the company's tangible assets and its potential for future growth, while discounting its current losses and uncertainties. This would likely result in a lower valuation than its current market capitalization.
Risk & Uncertainty
Nebius Group faces several significant risks and uncertainties that could negatively impact its business and financial performance. The most prominent risk is the ongoing restructuring and separation from Yandex N.V. This transition introduces operational complexities, potential disruptions to existing business relationships, and the need to establish independent corporate governance and management structures. The success of this separation is critical to the company's future viability, and any missteps could have severe consequences.
Competition in the technology industry is intense, particularly in the cloud computing market. Nebius Group faces competition from established global players, such as Amazon Web Services, Microsoft Azure, and Google Cloud Platform, as well as regional competitors. These competitors have significantly greater resources and brand recognition, making it challenging for Nebius Group to gain market share and maintain its competitive edge. The company's ability to differentiate its offerings and provide superior value to customers is crucial for its success in this competitive landscape.
Regulatory risks also pose a significant threat to Nebius Group's business. The company operates in a complex and evolving regulatory environment, particularly in Russia and other international markets. Changes in regulations related to data privacy, cybersecurity, and internet governance could negatively impact the company's operations and increase its compliance costs. The company's ability to navigate these regulatory challenges and adapt to changing legal requirements is essential for its long-term sustainability.
The company's reliance on the Russian market also exposes it to geopolitical risks and economic instability. Political tensions, economic sanctions, and currency fluctuations could negatively impact the company's revenue and profitability. The company's ability to diversify its revenue streams and expand its operations into other markets is crucial for mitigating these risks. Furthermore, the company's negative free cash flow and high cash burn rate pose a significant financial risk. If the company fails to improve its operational efficiency and generate sustainable earnings, it may need to raise additional capital, which could dilute existing shareholders or increase its debt burden.
Bulls Say / Bears Say
The Bull Case
BULL VIEWYandex Cloud is a rapidly growing business with significant potential in the Russian market, and NBIS is well-positioned to capitalize on this opportunity.
BULL VIEWThe company's strong cash position provides a buffer to absorb losses and invest in future growth initiatives, making it a compelling long-term investment.
BULL VIEWThe high momentum score indicates strong market optimism, suggesting that the stock is poised for further gains as the company executes its strategic plan.
The Bear Case
BEAR VIEWThe company's significant operational losses and negative free cash flow raise serious concerns about its long-term viability, making it a risky investment.
BEAR VIEWThe ongoing restructuring and separation from Yandex N.V. introduce significant uncertainties and potential disruptions, which could negatively impact the company's performance.
BEAR VIEWThe company's valuation is difficult to justify given its poor financial performance and the intense competition in the technology industry, suggesting that the stock is overvalued.
About the Author
Marques Blank
Founder & Chief Investment Officer, Blank Capital
Marques brings 15 years of institutional finance and investing experience, having overseen financial planning for a $1.6B defense business unit. He developed the proprietary 6-factor quantitative model used to score NBIS and 4,400+ other equities.
Nebius Group N.V. exhibits a 1975% valuation premium relative to institutional benchmarks. This represents a potential valuation overextension based on current multiples.
Return on Assets
Efficiency of asset utilization
-72.3%
Sector: -1.0%
Gross Margin
Pricing power and cost efficiency
37.5%
Sector: 50.9%
Operating Margin
Core business profitability
-375.1%
Sector: -0.5%
Net Margin
Bottom-line profitability
-545.9%
Sector: -1.5%
Factor Methodology
The Quality factor evaluates the persistence and magnitude of cash flows. Companies with scores >70 exhibit superior competitive moats and financial resilience through economic cycles.
