Nebius Group N.V. (NBIS) stock rose Wednesday as the AI cloud provider reported stronger pricing for computing capacity, signaling resilient demand despite growing concerns over debt-funded AI infrastructure spending.
The stock is attempting to recover following last week's sharp selloff across the neocloud sector. Sentiment also improved after Elon Musk warned of prolonged computing shortages and said Space Exploration Technologies Corp.'s (SPCX) short-term computing contracts were renewing at higher prices.
Nebius Sees Strong Demand
Speaking to CNBC at a conference in Berlin, Nebius Chief Revenue Officer Marc Boroditsky said a recent capacity auction showed rising prices per megawatt.
He added that Nebius could sell its entire planned 2027 computing capacity at current prices, with strong demand potentially extending into 2028.
Boroditsky also said Nebius faces less financial pressure than CoreWeave Inc. (CRWV) because it carries significantly less debt.
Instead, Nebius relies on equity raises, convertible offerings and upfront customer payments to fund expansion. He noted that customers are making larger advance payments to secure future computing capacity.
Nebius Introduces Real-Time GPU Pricing
Separately, Nebius unveiled public, real-time GPU spot pricing at the GTC Berlin conference, alongside new purchasing options.
These include reserve auctions, pay-as-you-go pricing and a pilot program allowing customers to return unused GPU capacity to the spot market.
The company also announced plans to expand its AI Builder Program into Europe in collaboration with NVIDIA Corp. (NVDA).
Nebius highlighted its growing European infrastructure footprint across Finland, France, the United Kingdom, Spain, Estonia and Iceland.
Technical Analysis: Key Support in Focus
Nebius shares remain under pressure despite Wednesday's rebound.
The stock trades 19.5% below its 20-day simple moving average (SMA) and 22.1% below both its 50-day and 100-day SMAs.
However, shares are just 1.4% below the 200-day SMA, making that level important for a potential recovery.
The moving average convergence divergence (MACD) indicator remains below its signal line, while its negative histogram points to weak momentum.
Nebius has declined from its June 52-week high after breaking below support in July. Despite the pullback, shares have gained 65.55% over the past 12 months.
The stock faces key support at $164.50, where buyers previously emerged. A sustained recovery above the shorter-term moving averages could signal improving momentum.
Analyst Outlook
The stock carries a consensus Buy rating and an average analyst price forecast of $269.62.
On Wednesday, Piper Sandler maintained a Neutral rating and lowered its price forecast to $185. Earlier this month, Rosenblatt initiated coverage with a Buy rating and a $304 price forecast. William Blair initiated coverage with an Outperform rating on Sept. 30.
NBIS Price Action
Nebius shares gained 0.95% to $173.09 at the time of publication Wednesday, according to market data.
