Nebius: Pricing Inflection Alters Narrative

Stone Fox Capital Investing Group Leader Follow Summary Nebius Group N.V. delivered a game-changing quarter, driving a bullish outlook with transformative AI data center pricing and capacity expansion. The AI data center company signed landmark AI cloud contracts at $20-25M/MW, doubling prior revenue targets and signaling robust demand and pricing power. Nebius increased contracted power guidance to 5 GW, with a simple target of $100B+ in annual revenue based solely on the new baseline of $20M/MW. Despite a $75B market cap, NBIS's upside remains significant as prepayments fund capex, and revenue potential far exceeds current valuation. This idea was discussed in more depth with members of my private investing community, Out Fox The Street. Learn More » Just_Super/iStock via Getty Images Nebius Group N.V. ( NBIS ) reported such impressive quarterly numbers that the AI data center narrative was altered. The company reported such a game-changing pricing inflection and capacity additions; Nebius took the spotlight back from the This article was written by Stone Fox Capital 56.54K Followers Follow Stone Fox Capital is an RIA from Oklahoma. Mark Holder is a CPA with degrees in Accounting and Finance. He is also Series 65 licensed and has 30 years of investing experience, including 15 years as a portfolio manager. Mark leads the investing group Out Fox The Street where he shares stock picks and deep research to help readers uncover potential multibaggers while managing portfolio risk via diversification. Features include various model portfolios, stock picks with identifiable catalysts, daily updates, real-time alerts, and access to community chat and direct chat with Mark for questions. Learn more. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.