Nebius Group NV (NASDAQ:NBIS) is one of the 10 Best AI Stocks to Watch in July.
On July 2, Nebius Group NV (NASDAQ:NBIS) received some analyst attention on Wall Street as a result of Meta’s entry into the cloud computing business
Stefan Slowinski of BNP Paribas has a Neutral rating on the stock, partly because Nebius’ stock has already risen over 345% this year so far. While he thinks the stock has run its course, the company’s business is expected to stay strong. He believes the company’s pricing power will remain intact and cited SpaceX’s recent deals with Google and Anthropic as evidence that the demand for compute continues to stay strong.
In his note to investors, Slowinski said: “Near term, we continue to find the pricing environment supportive, evidenced in part by SpaceX’s recent AI infrastructure deals with Anthropic and Google.” On the subject of strong demand, the analyst also pointed out that Amazon’s recent 20% price increase for GPU reservation service would benefit NeoClouds like Nebius. Enterprises continue to look for cheaper alternatives, and Nebius provides exactly that through its open-source models. This factor, he believes, could be the catalyst for NBIS’ next rally, if that materializes: “In this regard, Nebius screens relatively well as its AI cloud stack appears better positioned to support fine-tuned open-source models for enterprise customers seeking cheaper alternatives to frontier models.” Nebius Group NV (NASDAQ:NBIS) is a technology company that provides infrastructure and services to AI builders worldwide.