New York, February 5, 2026, 12:46 EST — Regular session
Nebius Group N.V. shares dropped 5.5% to $77.87 by midday Thursday, marking another volatile day for AI-related stocks as investors reconsider their growth valuations. The Nasdaq-listed AI cloud company swung between $74.40 and $83.18 during the session.
The broader “AI trade” remains under pressure as the Nasdaq fell to its lowest point in over two months, while the S&P 500 dropped to a two-week low. Investor jitters were sparked by Alphabet’s ramped-up spending plans and Qualcomm’s gloomy outlook, casting doubt on when hefty AI investments will start paying off. “The AI trade which was the accelerant last year is perhaps the extinguisher this year,” said Melissa Brown, managing director of investment decision research at SimCorp. 1
Investor sentiment has turned sour in software and data services, as concerns grow that new AI tools might undercut demand for established products. The recent selloff was sparked by a legal plug-in from Anthropic’s Claude model, but some strategists are pushing back against the alarm. “The software selloff is getting overdone,” said Talley Leger, chief market strategist at The Wealth Consulting Group. 2
Nebius, based in Amsterdam and focused on full-stack infrastructure for AI workloads, will release its fourth-quarter and full-year 2025 results on February 12, ahead of the open. A conference call is set for 8:00 a.m. Eastern Time that day. 3
A fresh analyst initiation has kept the stock in focus despite a shift to risk-off sentiment. Freedom Capital slapped a $108 price target on Nebius, highlighting its strategy of owning data centers and offering GPU-as-a-service—a rental model for graphics chips used in AI training and operations—instead of relying on hyperscalers for capacity. 4
The Feb. 12 report will probably hinge more on guidance than the top-line figures. Investors want reassurance that customer demand remains solid and that expanding capacity won’t worsen cash burn, even as capital investments in data centers and servers remain high.
However, the wider market environment isn’t favoring high-growth names, with traders viewing many software and AI-related stocks as overcrowded bets. “We have not suggested people to buy software,” said Manish Kabra, lead U.S. equities and multi-asset strategist at Societe Generale, highlighting a shift toward more cyclical sectors. 5
Nebius has been growing its footprint following major multi-year AI infrastructure deals with Meta and Microsoft. These agreements highlight strong compute demand but also commit the company to extended spending and execution challenges. 6
The next major event to watch is February 12, when Nebius releases its report. Investors will zero in on management’s take on capacity, customer growth, and spending strategies — the combination that’s been driving NBIS more than any one headline.
