Nebius Group (NASDAQ: NBIS) has seen its stock soar over 160% in the past year due to the high demand for artificial intelligence (AI) workload capacity, driving explosive revenue growth. The AI market is expected to reach trillions of dollars, but competition and debt risks may affect Nebius’ future growth potential.

Nebius offers compute for AI workloads and managed services, leading to revenue growth of over 300% in the latest quarter. Major companies like Microsoft and Meta Platforms have signed billion-dollar deals for capacity with Nebius. However, competition from other AI cloud specialists and big cloud service providers could limit Nebius’ growth potential.

While Nebius’ stock may not plummet to $0, investors should consider the risks of debt and competition before investing. The Motley Fool Stock Advisor team did not include Nebius Group in their list of 10 best stocks to buy now, highlighting the importance of careful consideration before investing in this high-growth company.

Read more at Nasdaq: Is Nebius Group Stock Going To $0?