In October 2024, Nebius Group made a notable return to the Nasdaq, emerging under a rebranded identity from its former name, Yandex N.V. Since its reintroduction, the company’s stock has witnessed a staggering increase, climbing more than 500% and recording a 347% jump in 2025 alone. Nebius’s stock has reached all-time highs this October, surpassing its previous valuations, and has attracted significant attention due to its deep involvement in the rapidly expanding sectors of artificial intelligence (AI) and cloud computing.
Nebius, which previously operated under the ticker YNDX while trading as Yandex N.V., was largely impacted by geopolitical tensions following Russia’s invasion of Ukraine. The Nasdaq initially suspended trading of Yandex stock in 2022 due to sanctions and eventually threatened a delisting. However, Yandex successfully appealed this ruling and underwent a substantial restructuring in 2023, shedding its Russia-based operations and evolving into an AI cloud platform. This strategic pivot positioned Nebius favorably amidst the current high demand for AI-driven solutions, as many companies prefer leveraging cloud services over investing heavily in building their own data centers.
The company has greatly enhanced its infrastructure by establishing AI data centers bolstered by significant fundraising efforts. In a successful public offering in September, Nebius raised $1.15 billion, followed by an additional $3.16 billion through senior convertible notes. Presently, it operates with 220 megawatts of power and is eyeing the ambitious goal of securing 1 gigawatt of cloud computing capacity by next year, with ongoing projects in locations such as New Jersey, the U.K., Israel, and Finland. Moreover, a key partnership with Microsoft includes a five-year, $19.4 billion contract to supply dedicated GPU capacity for Microsoft Azure, a deal that previously nudged the stock up by 200%.
Despite not yet reaching profitability, Nebius has reported impressive revenue growth, yielding $105.1 million in second-quarter earnings—a colossal 625% increase from the previous year. The company has also achieved adjusted EBITDA profitability, showcasing a positive trajectory.
There has been speculation regarding a potential stock split for Nebius Group, which some analysts believe could enhance affordability for retail investors, similar to what Chipotle Mexican Grill did earlier this year. However, Nebius’s current stock price is approximately $125, well below historical thresholds that typically prompt companies to consider such a move.
As investors ponder the attractiveness of Nebius Group, it is worth noting that it did not make the list of top stocks recommended by analysts, who have identified ten other stocks that may provide greater returns. Historically, some stocks on such lists have yielded extraordinary returns, exemplified by companies like Nvidia and Netflix.
With the tech industry experiencing vigorous growth and the demand for AI solutions on the rise, Nebius Group’s strategic focus could continue to drive its stock performance in the coming years. However, potential investors should carefully weigh their options and consider the insights provided by expert analysis when deciding on their investment moves.
