Nebius Stock Sinks More Than 30% in Two Days

What happened

Nebius reported third-quarter revenue of $980.8 million, up more than 571% from a year earlier, and a GAAP loss of 13 cents per share. It expects some third-party computing capacity to become available in the second quarter of 2027.

Confirmed

Global impact / market context

The later computing capacity could delay Nebius’s ability to serve customers and generate revenue from its expansion. Meanwhile, the reported $7.3 billion in quarterly capital spending and possible reliance on debt or share issuance create funding needs that could raise costs or dilute existing shareholders.

Analyst inference

The report presents a tension between rapid sales growth and the cost and timing of building computing capacity. Customer prepayments covered more than 90% of contract value signed during the quarter, but the company is also considering several other funding sources, with no final choice stated.

Analyst inference

What to watch

1. Watch whether Nebius confirms when the third-party computing capacity will be available in the second quarter of 2027 and whether that timing changes its expansion plans. Analyst inference
2. Watch for a decision on asset-backed financing, convertible debt, equity issuance, or customer commitments; each would affect how the company funds growth and bears costs. Analyst inference
3. Track whether future reports show customer prepayments continuing to cover more than 90% of newly signed contract value, as management said they did this quarter. Analyst inference

Evidence

• gurufocus.com