Nebius Group (NBIS) shares rose 4% on Tuesday as investors reacted to the completion of its acquisition of AI inference company Eigen AI and the company’s confirmed inclusion in the Nasdaq-100 Index later this month.
The Amsterdam-based AI cloud firm finalized the Eigen AI deal on June 10, about six weeks after announcing it on May 1. Financial terms were not disclosed, but the acquisition adds Eigen AI’s inference and model optimization capabilities directly into Nebius’s existing cloud platform. The move is expected to strengthen its full-stack AI infrastructure offering as enterprise demand for AI computing grows.
Also boosting sentiment: Nebius will officially join the Nasdaq-100 Index before the market opens on June 22, a change that typically triggers automatic buying from index-tracking ETFs and mutual funds. CNBC’s Jim Cramer called the addition a “big deal,” and short interest has already ticked down slightly — from 45.10 million shares to 44.30 million — though about 20.73% of the public float remains sold short.
The stock’s rise follows a stellar Q1 report. Revenue jumped 684% year-over-year to $399 million, with AI Cloud accounting for $389.7 million (98% of total sales). The per-share loss narrowed to ($0.23), far better than the ($0.77) consensus estimate. Wall Street analysts have reacted: Citigroup lifted its price target from $169 to $287 (Buy), Citizens JMP went from $175 to $270 (Market Outperform), and the average target now sits at $203.25. NBIS has nine Buy ratings and six Holds, and the stock has returned over 415% over the past year, opening Tuesday at $260.07.
Institutional interest is also rising; Millennium Management opened an $11.5 million position, while UBS AM added about $9 million. Insider selling continues under pre-set plans — CTO Danila Shtan and insider Andrey Korolenko offloaded $132 million worth over three months — but the overall narrative remains bullish.
