Return to the Trading Floor: Nebius Group with High Volatility Potential After Trading Halt

The Amsterdam-based Nebius Group is set to re-enter the Nasdaq after a prolonged trading suspension under its former Yandex banner. Investors expect a volatile trading day on Monday after the AI-specialized infrastructure company experienced a dramatic transformation process. Trading was halted in February 2022 shortly after Russia's invasion of Ukraine, as shares were once traded under the Yandex ticker, often referred to as "Russia's Google." In July, Nebius restructured after a billion-dollar deal split the Russian and international parts of Yandex. Yandex itself had once reached a market capitalization of over $30 billion. However, with the outflow of revenue-generating businesses in Russia, Nebius, targeting the high-growth AI cloud market, now presents a completely different picture. At the last trade, the stock price was $18.40 per share, with a free float of 78.1% primarily held by Western investors. Thus, extremely high volatility is likely in the early trading days, says Denis Buivolov, a personal investor in Nebius. In an analysis on the Seeking Alpha platform, Buivolov estimated the company's value at $4.6 billion, equivalent to a stock value of $23, based on company plans and comparisons with companies like CoreWeave and Lambda Labs. Another investor, whose share value once amounted to around $200,000, considers buying more shares if the price plummets, as those who have already written off their investments may need to sell. Dr. Jan-Oliver Strych, an advisor to his family fund that has invested in Nebius, notes that the stock value would be determined by the positive liquidity potential of AI-enthusiastic investors against the negative effects of impatient sellers. Nebius, whose core business includes the offering of Nvidia graphics processors and AI cloud services, expects strong growth in these markets. By 2025, the company plans to triple or quadruple its revenue to $500 to $700 million, planning to invest between $600 million and $1.5 billion in expanding data centers in Finland, France, and North America.