Goldman Sachs revisits Nebius stock price target after earnings

1 hour ago 1

Mwangi Enos

Thu, May 14, 2026 astatine 12:17 PM CDT 4 min read

Most investors person ne'er heard of Nebius Group (NBIS). But that is astir to change.

To those who knew of NBIS and paid attraction to it: Congratulations, you knew wherever to look.

The Amsterdam-headquartered AI unreality institution reported first-quarter 2026 results connected May 13 that were, successful a word, stunning.

Revenue of $399 cardinal represented 684% year-over-year growth. The AI concern specifically grew 841%. Adjusted EBITDA swung from a $54 cardinal nonaccomplishment a twelvemonth agone to $130 cardinal positive. And the institution shared it had secured 1.2 gigawatts of powerfulness and onshore for a caller AI mill successful Pennsylvania.

NBIS closed the net time up 15.72% to $207.27, according to Yahoo Finance. Impressively, the banal is up 147.62% twelvemonth to day and 487.67% implicit the past year.

"We proceed to spot unprecedented request crossed the market," Nebius wrote successful its shareholder letter. "Compute and unreality needs are vastly exceeding capableness arsenic much industries clasp AI."

Goldman Sachs reiterates bargain standing connected Nebius aft breakout 4th

Goldman Sachs reiterated its bargain standing and $205 terms people connected Nebius (NBIS) successful a enactment shared with TheStreet pursuing the results, expecting an archetypal affirmative stock terms reaction. Given the 15% single-session move, that anticipation was validated immediately.

The header gross bushed of 7% supra Visible Alpha consensus, arsenic confirmed by Investing.com, was driven by 3 simultaneous tailwinds: capableness scaling, beardown pricing, and precocious utilization.

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All 3 moving unneurotic is uncommon and meaningful. It suggests Nebius is not discounting to capable capableness — it is filling capableness astatine premium prices due to the fact that request exceeds supply.

My reappraisal of the annualized recurring gross progression tells the communicative efficiently. ARR reached $1.92 cardinal astatine the extremity of March 2026, up much than 50% from $1.25 cardinal astatine the extremity of December 2025 and representing a $670 cardinal sequential summation successful a azygous quarter. The company's gross successful Q1 2026 accrued astir 1.7 times 4th implicit 4th ($227.7 cardinal Q4 2025).

Nebius besides raised its contracted powerfulness people for year-end 2026 to much than 4 gigawatts, up from a anterior people of much than 3 gigawatts, and has already secured 3.5 gigawatts of that caller target, according to the missive to Shareholders.