TLDR
- Nebius Group announced a $643 million acquisition of Eigen AI, adding inference and optimization tech to its platform.
- Nvidia is committing a $2 billion investment into Nebius as it shifts toward a Platform as a Service model.
- Nebius has secured multi-billion dollar, long-term contracts with Meta and Microsoft tied to AI infrastructure.
- Institutional ownership has grown to 21.9%, with Mitsubishi UFJ Asset Management lifting its stake by 230.6%.
- NBIS stock opened at $177.08 on Friday, close to its 52-week high of $197.89, with analysts holding a consensus “Moderate Buy” and an average price target of $154.75.
Nebius Group is making a clear push to move up the AI value chain.
The company announced a $643 million acquisition of Eigen AI, a firm specializing in inference and optimization technology. The deal adds a new layer to Nebius’s existing AI platform and is central to its shift from pure infrastructure provider to a Platform as a Service business.
NBIS opened at $177.08 on Friday, down 4.18% on the day, but still trading near its 52-week high of $197.89.
The acquisition will see Eigen AI’s technology folded into Nebius’s Token Factory product, turning what has been a raw compute offering into a more software-driven, recurring revenue platform.
That shift matters because it moves Nebius closer to the higher-margin layer of the AI stack, where cloud giants already operate.
Nvidia, Meta and Microsoft All In
Nvidia is backing the pivot with a $2 billion equity investment into Nebius. The deal deepens the pair’s existing relationship and ties Nebius more tightly into the GPU supply chain as it expands data center capacity, including a planned 310 megawatt facility in Finland.
Meta and Microsoft have both signed multi-billion dollar, long-term contracts for Nebius’s AI infrastructure and platform services. These deals give the company contracted revenue over multiple years rather than relying on shorter capacity cycles.
Together, the three partnerships give Nebius a level of vendor and customer support that most smaller AI infrastructure companies don’t have.
Institutional Money Moving In
Mitsubishi UFJ Asset Management lifted its NBIS stake by 230.6% in Q4, adding 165,278 units to bring its total to 236,949, valued at around $21.3 million.
Other funds followed. Sumitomo Mitsui Trust Group initiated a new position worth approximately $24.8 million. Zurcher Kantonalbank grew its holding by over 34,000%, and Mirae Asset Global Investments lifted its position by 52%.
Institutional ownership now sits at 21.9% of the company.
On the analyst side, DA Davidson raised its price target from $150 to $200 and kept a “buy” rating. Bank of America, Compass Point, and Citigroup also initiated coverage with “buy” ratings. Cantor Fitzgerald set an “overweight” with a $129 target. The consensus across 15 analysts sits at “Moderate Buy” with an average target of $154.75.
That average target is below Friday’s opening price, meaning the stock has already run past much of Wall Street’s stated upside.
Nebius does carry risks. Its most recent earnings came in below expectations — the company reported a loss of $0.69 per share versus the $0.42 analysts had forecast, on revenue of $227.7 million against a $246 million estimate.
Insiders have also been selling. CEO Arkadiy Volozh sold 33,358 units on April 1st at an average of $103.73. Director Elena Bunina sold 10,819 units on May 6th at $184.86 per unit under a pre-arranged 10b5-1 plan. Combined insider sales over the past 90 days total 146,441 units worth roughly $17.7 million.
Nebius reports earnings on May 13th.
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