The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 15 | 75.5x | 20.8x | Bottom tier | |
Growth | 97 | 547.9% | 6.1% | Top tier | |
Quality | 33 | -13.0% | 6.6% | Bottom tier | |
Safety | 23 | 0.4x | 0.7x | Bottom tier | |
Capital Return | 13 | — | 2.02% | Bottom tier | |
Momentum | 91 | 378.9% | 4.1% | Top tier | |
Sentiment | 40 | 5 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Nebius Group N.V. is an integrated cloud provider tailored specifically for AI, offering massive infrastructure and software solutions that cover the entire AI lifecycle. The company generates revenue by leasing supercomputing capacity, offering multi-tenant cloud services, and providing inference solutions via its Token Factory product. The company recently enhanced its capabilities by acquiring Eigen AI, Clarifai, and Tavily, enabling it to offer superior improvements in inference speed and agentic search for customers and developers.
In Q1 of fiscal year 2026, the company reported exceptional financial results as group revenue jumped 684% year-over-year to reach $399 million. The Nebius AI segment formed the core of this growth with revenues of $390 million, raising the Annual Recurring Revenue (ARR) run rate to $1.9 billion. On the profitability front, the group achieved adjusted EBITDA of $130 million with a 32% margin, while the AI segment recorded a staggering margin of 45%. Net income also reached $621 million, benefiting from a non-cash valuation adjustment for its investment in ClickHouse.
Nebius stock is currently trading at a notable discount compared to the average analyst price target of $196, with optimistic targets reaching $255. The analyst consensus reflects a strong Buy recommendation, supported by exponential revenue growth and robust operating cash flows. Despite the absence of a traditional P/E ratio due to massive infrastructure investments, the acceleration of operating profit margins justifies the stock's premium valuation in the tech sector.
Figures in the text are as of 2026-07-14; the live price is shown at the top of the page.
The total value of the contract with Meta is approximately $27 billion and spans five years, divided into two main components. The first component is a $12 billion commitment to provide dedicated compute capacity with deliveries starting in early 2027. The second component includes a $15 billion option that allows Nebius to allocate capacity to Meta or sell it to other AI cloud customers at higher market prices, providing significant flexibility and potentially better profit margins.
The company raised its capital expenditure forecast for 2026 from a range of $16-20 billion to $20-25 billion. This increase is primarily due to clear visibility into demand and firm customer commitments for 2027, requiring early infrastructure investments. Management emphasized that this rise is not driven by component cost inflation, but rather to fund massive projects such as the new 1.2-gigawatt Pennsylvania site.
The partnership goes beyond just the $2 billion financial investment to include strategic supply chain guarantees for the latest generations of GPUs. This relationship grants Nebius early access and technical support for future Vera Rubin platforms as soon as they become available. Additionally, the company recently earned the NVIDIA Exemplar Cloud status thanks to its excellence in running workloads on GB300 processors.
Automated analysis for informational purposes only — not investment advice.
These acquisitions aim to enhance the capabilities of the company's integrated cloud platform, specifically in the area of inference and agentic software. Eigen AI and Clarifai provide advanced technologies to improve the speed and efficiency of inference at the model and system levels, directly supporting the Token Factory product. These moves help the company offer a lower total cost of ownership and a superior developer experience compared to traditional competitors.