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Nebius Group N.V. NBIS, a hypergrowth AI infrastructure-focused company, saw its shares slide following the third-quarter 2025 results, as widening losses and a tighter group revenue outlook weighed on investor sentiment. Notably, the company’s shares have declined 20.4% since third-quarter earnings on Nov. 7, 2025.
In the past month, shares of Nebius have plunged around 30%, underperforming the Zacks Internet Software Services industry’s decline of 8.8%. The Zacks Computer & Technology sector and the S&P 500 Composite are up 0.2% and 3%, respectively, over the same time frame.
Image Source: Zacks Investment Research
The key question for investors: With NBIS stock down, is this dip a buying opportunity or a warning sign? Let’s take a deeper look at the recent numbers, management commentary and forward outlook points to ascertain the best course of action.
NBIS’ Q3 Earnings Snapshot
Nebius’ third-quarter 2025 adjusted net loss was $100.4 million, 153% wider than a loss of $39.7 million incurred a year ago.
The company’s revenues surged 355% year over year to $146.1 million, with the core infrastructure segment (making up 90% of total revenues) growing 400%. The increase in sales was primarily driven by strong performance in the company’s core business.
NBIS reported an adjusted EBITDA loss of $5.2 million for the third quarter, narrower than the $45.9 million loss in the prior-year quarter.
Total operating costs and expenses increased 145% to $276.3 million
As of Sept. 30, 2025, NBIS’ net loss from operations was $119.6 million compared with a loss of $43.6 million in the year-ago period.
Nebius’ Headwinds
NBIS is grappling with macroeconomic uncertainties, rising expenses and heavy capital spending. In the third quarter of 2025, sales, general and administrative expenses increased 87% year over year. For 2025, Nebius has raised its capital expenditure guidance from approximately $2 billion to around $5 billion. Elevated capital expenditure...