Why Nebius Group N.V. (NBIS) Crashed on Friday

We recently compiled a list of the 10 Stocks Record Biggest Double-Digit Drop on Friday. In this article, we are going to take a look at where Nebius Group N.V. (NASDAQ:NBIS) stands against the other stocks.

The stock market ended the trading week in a bloodbath, with major indices registering losses amid concerns over a slowing economy and sticky inflation.

The Dow Jones fell by 1.69 percent, the S&P declined by 1.71 percent, while the tech-heavy Nasdaq nosedived by 2.20 percent.

Ten stocks mirrored a broader market decline, posting double-digit losses, with sentiment for most of the companies dampened by dismal earnings performance.

To come up with Friday’s biggest losers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.

A portfolio manager intently studying financial data while making a strategic decision for a mutual fund.

Nebius Group N.V. (NASDAQ:NBIS)

Nebius Group N.V. (NASDAQ:NBIS) lost 13.87 percent of its value on Friday to end at $39.83 apiece following mixed earnings performance in the fourth quarter last year.

During the quarter, Nebius Group N.V. (NASDAQ:NBIS) widened its net loss by 2.5 percent to $87.5 million from $85.3 million year-on-year, while net loss from continuing operations jumped by 55.5 percent to $136.6 million from $88.3 million. Meanwhile, revenues for the period surged by 466 percent to $37.9 million from $6.7 million.

For the full year, adjusted net loss narrowed by 11.8 percent to $282.9 million from $320.9 million in 2023, while net loss from continuing operations grew by 17.9 percent to $396.9 million from $336.6 million. Revenues spiked by 462 percent to $117.5 million from $20.9 million in 2023.

Overall NBIS ranks 8th on our list of Friday’s biggest losers. While we acknowledge the potential of NBIS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NBIS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.