Nebius upgraded to Buy after 40% drop, backed by strong AI cloud growth and $775M debt financing.

Nebius (NBIS) has been upgraded to a Buy rating following a recent sell-off exceeding 40%, which created an attractive entry point amid strong long-term prospects in AI cloud computing. The company secured $775 million in debt financing backed by customer cash flows, enabling faster global expansion and reducing concerns about asset monetization timing. Strategic partnerships with Nvidia and others support Nebius's rapid AI infrastructure development despite current cash flow deficits. Its full-stack AI cloud and open-source integration provide multiple revenue opportunities, positioning Nebius well to benefit from growing AI compute demand.