What's behind Nebius Group's latest 6.8% stock pullback?

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Nebius Group slides 6.79% today

Highlights

Nebius Group secured over $1 billion in long-term computing deals with Reflection AI, incorporating Nvidia's GB300 chips through 2029.
Recent major contracts include $27 billion with Meta, $17 billion with Microsoft, and $2 billion equity investment from Nvidia, driving infrastructure expansion and a rising backlog.
Shares remain under strong selling pressure, with technical signals bearish and the expected five-day range between $177.81 and $214.64.

Large-scale AI contracts and investments outpaced by persistent selling pressure

Nebius Group secured a multi-year agreement to provide over $1 billion in computing power to Reflection AI, with the partnership running through 2029 and featuring Nvidia's GB300 chips. Other recent developments included major contracts: a $27 billion agreement with Meta Platforms, a $17 billion revenue agreement with Microsoft, and a $2 billion equity investment from Nvidia. The company announced further expansion of its AI and cloud infrastructure, a growing order backlog, new product launches such as Cloud 3.6 with enhanced DevOps integration, and increased data center presence in the UK, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, sees renewed selling pressure in NBIS despite blockbuster deals and high-profile client wins. He notes the stock remains trapped below both its 20- and 50-day moving averages, underlining bearish technicals. Recent contract announcements have failed to lift investor sentiment amid persistent downside momentum and oversold oscillators. Kharitonov is skeptical of near-term recovery given weak momentum signals and selling at today's lows. "Given the lack of sustained buying interest, I remain cautious until NBIS reclaims key technical levels and shows meaningful trend reversal."

Viktoras Karapetjanc, expert at Traders Union, highlights the solid fundamental story around Nebius Group. He points to the company's multi-year billion-dollar contracts and strategic partnerships as signs of robust demand and scalability. Karapetjanc believes recent selling sets up healthy consolidation before further gains, with the long-term trend remaining positive thanks to expanding AI and cloud infrastructure. "Growth prospects are reinforced by a $1 billion deal through 2029 and deepening industry ties — bullish structure remains intact for forward-looking investors."

Jainam Mehta, market strategist, notes NBIS trades below short- and medium-term moving averages while holding well above the 200-day level. He sees this as a classic volatility setup, with oversold technical signals suggesting a contrarian bounce is possible if price holds above $193.48. Mehta advises watching for momentum divergence to spot a tactical reversal. "If the stock quickly reclaims $214.64 or shows positive divergence, I would consider an opportunistic long entry here."

Weak momentum persists as short-term support threatened amid technical signals

Nebius Group is trading below both its 20-day and 50-day moving averages at $244.69 and $222.87, signaling short- and medium-term downside pressure, but remains well above the 200-day moving average ($136.33), suggesting a still-positive long-term trend. The nearest levels to watch are the near-term ceiling at $214.64 and the near-term floor at $193.48. Momentum signals are weak, with the MACD and RSI both indicating a sell bias and lack of directional strength, while the ADX remains neutral. The Stochastic RSI and Bull/Bear Power (BBP) both point to oversold conditions, confirming that sellers are dominating intraday momentum. The Awesome Oscillator (AO) also supports the prevailing downward trend. Price action is near today's low, intraday volatility stands at 14.30%, and the tone remains under pressure after the open. Intraday weakness is consistent with the majority of momentum and oscillator signals, which underline strong selling interest.

Earlier, analysts noted that Nebius Group was facing persistent short- and medium-term selling pressure despite robust business developments and portfolio concentration. The recent selloff, even after a series of multi-billion-dollar AI deals, signals that further downside remains a risk and places greater importance on the $193.48 support level as a key threshold for potential trend reversal.

Source of Data: NBIS Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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