We recently published an article titled Trade Tensions Weigh Heavily on 10 Stocks. 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 kicked off the trading week in a bloodbath, erasing last week’s gains, with all major indices posting heavy losses following President Donald Trump’s imposition of additional 10-percent tariffs on China, and the resumption of 25-percent taxes on Mexico and Canada.
The tech-heavy Nasdaq posted the biggest losses, down 2.64 percent, followed by the S&P at 1.76 percent and the Dow Jones at 1.48 percent.
According to Trump, there was no room left for Mexico and Canada, and his 25-percent tariff for the two countries “will start.” He also signed an additional 10 percent tariff on goods from China.
The overall sentiment spilled into the performance of 10 companies, which on Monday lost as high as double digits.
To come up with Monday’s top losers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.
A scientist at a computer station, surrounded by a neural network of artificial intelligence code.
Nebius Group N.V. (NASDAQ:NBIS)
Nebius Group N.V. (NASDAQ:NBIS) dropped its share prices by 13.51 percent on Monday to close at $28.10 each as investor sentiment was weighed by a broader market pessimism and a negative outlook from former hedge fund manager Jim Cramer.
Last week, Cramer, who also hosts Mad Money on CNBC, said NBIS was “a big money loser that people are buying because it is part of all, of everything that’s going on right now in the cloud.”
“I don’t want to be a part of it. Period. End of story,” he was quoted as saying, adding that if investors are interested in investing in artificial intelligence, they should go with Nvidia Corp.
“I can’t get behind Nebius Group N.V. (NASDAQ:NBIS). If I want AI, I will go for Nvidia as it comes down,” he said.
On Tuesday, stock analysts at DA Davidson initiated a coverage on NBIS, giving the company a “buy” rating and a price target of $50 apiece, a 78-percent upside on its latest stock price.
Overall NBIS ranks 3rd on our list of Monday’s top 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 time frame. If you are looking for an AI stock that is more promising than NBIS but 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.
