Nebius Group N.V. (NASDAQ: NBIS) shares tumbled 13.17% on Saturday, February 28, 2026, closing at $91.07, despite ongoing investor interest in the AI infrastructure provider. The decline follows a surge earlier in February that saw the stock’s trailing twelve-month return reach 110%, according to a report by Forbes on February 9, 2026.
The company, valued at approximately $23 billion, has positioned itself as a key player in the rapidly expanding AI computing infrastructure market. Nebius rents out space in existing data centers while simultaneously constructing its own facilities to meet the escalating demand for AI computing power. It offers a full-stack solution, providing developers with the necessary tools to build and deploy AI applications.
Nebius anticipates a substantial increase in its annual run rate, projecting growth from $1.25 billion in 2025 to between $7 billion and $9 billion in 2026. This projected growth is fueled by significant contracts with major technology companies, including a recently announced $17.4 billion infrastructure deal with Microsoft, as reported by Windows Central. This deal underscores Microsoft’s commitment to its AI ambitions and its strategy of diversifying its AI infrastructure across multiple partners.
The Microsoft agreement builds on a previous contract that will save the U.S. Government $6 billion over three years, highlighting the tech giant’s $80 billion AI infrastructure strategy. Nebius is too acquiring NVIDIA’s Rubin platform, gaining a competitive edge over other companies in the field. Microsoft secured a $19.4 billion, five-year commitment, and Meta contributed $3 billion to Nebius’s expansion.
Despite the impressive growth projections, analysts acknowledge the challenges Nebius faces in competing with established cloud computing giants like Amazon Web Services (AWS). AWS generated $129 billion in sales and $45.6 billion in operating income over the past 12 months, dwarfing Nebius’s projected 2026 revenue. However, Nebius’s focused approach on AI infrastructure differentiates it from these broader cloud providers.
Arkady Volozh founded Nebius and serves as its CEO. Other key leaders include Roman Chernin, Chief Business Officer; Andrey Korolenko, Chief Infrastructure and Product Officer; Marc Boroditsky, Chief Revenue Officer; Tom Blackwell, Chief Communications Officer; Elena Bunina, Head of Nebius Academy; and Danila Shtan, Chief Technology Officer. The company operates a data center in Mäntsälä, Finland.
While the stock’s current valuation makes a 100x return unlikely, analysts suggest Nebius remains a viable option for investors seeking exposure to the AI race. The company is expected to outperform the market over the next few years, offering respectable returns.
