Nebius Group Initiated with Neutral Rating at D.A. Davidson, Citing Valuation Concerns

D.A. Davidson initiated coverage on Nebius Group (NBIS) with a Neutral rating. Analyst Gil Luria set a $250 price target.

Luria identifies Nebius as a staple of the AI trade. The firm maintains the company deserves its premium valuation. The analyst suggests the stock requires a short-term "breather" following significant outperformance over the past year.

D.A. Davidson believes current valuations limit near-term upside potential. Nebius shares declined following the cautious outlook.