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Nebius Attracts Buyers as Meta Compute Panic Subsides

Nebius shares drew fresh buying interest on July 6 after the sharp selloff triggered by Meta’s reported “Meta Compute” plans proved overdone. The July 1 Bloomberg report had raised fears that Meta could become a direct rival, pressuring Nebius’s $27 billion AI partnership and sending the stock below its 20-day moving average. Management quickly reiterated 3.5 GW of contracted power, a 4 GW target, and the $7–9 billion ARR goal while citing more than $46 billion in hyperscaler commitments. Valuation has since compressed to roughly 8x forward ARR, which analysts view as attractive relative to growth prospects, supporting price targets of $300–$375 by year-end.

Category

Meta Platforms

Sentiment

Bearish

Event

Partnership

Reading time

1 min