Investors bullish on Nebius Group growth potential, partnered with Nvidia, expecting revenue growth

From Yahoo Finance: 2025-06-29 12:33:00

Investors are bullish on Nebius Group’s growth plans. Nvidia is a major investor and partner, anticipating higher stock prices if revenue targets are met. Nebius, once Yandex, went public in May 2011 and rebranded as Nebius Group. Cloud infrastructure is its core business, competing with major players in the AI sector like AWS and Google Cloud.

Nebius has four business segments in the AI ecosystem: cloud infrastructure, Toloka, TripleTen, and Avride. Nvidia’s investment in Nebius includes providing computing capacity to European customers. Nebius expects annual revenue of $750 million to $1 billion by end of 2025, with a positive adjusted EBITDA.

Despite recent stock surge, Nebius is not yet fully valued for its growth potential. Investors are advised to consider other stocks before buying Nebius. The Motley Fool Stock Advisor does not currently recommend Nebius. Past recommendations like Netflix and Nvidia have shown significant returns compared to the S&P 500.

Nebius’ growth potential is attracting investors’ attention, with a partnership with Nvidia driving scalability and revenue projections. Nebius expects to reach positive adjusted EBITDA this year. The company’s valuation remains reasonable compared to other tech companies despite its rapid growth. Potential for further stock increase in both short and long term.

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