Nebius Stock Is Up Over 200% This Year, but Its $3 Billion Meta Deal Still Changes Everything

Nebius Group (NASDAQ: NBIS) stock was down 7% today on exceptionally heavy volume after the data center infrastructure company reported third-quarter earnings on Nov. 11. Revenues were 355%, but the company reported wider losses than last year because of increased spending to ramp up its data centers and outfit them with high-powered graphics processing units (GPUs) capable of training and running platforms powered by AI (artificial intelligence).

However, the company also announced a new deal to provide $3 billion worth of AI infrastructure over five years to Meta Platforms (NASDAQ: META), which has been investing heavily to ramp up its own AI infrastructure, including its Llama large language model, AI-based advertising products, and customer-facing AI features such as Meta AI.

Nebius earnings at a glance

Nebius reported revenues of $146.1 million for the third quarter, up 355% from a year ago. In the first nine months of the year, Nebius's revenue is up 437%, from $56.3 million in 2024 to $302 million in the first three quarters of 2025.

However, the company posted a net loss of $119.6, a widening of 174% from last year's quarterly loss of $43.6 million. And the adjusted net loss was $100.4 million, up from a loss of $39.7 million in the same quarter a year ago.

Nebuis reported it spent $955.5 million in the quarter on capital expenditures, up from $172.1 million a year ago.

Management said that it sold out of its available capacity in the third quarter. It has 220 megawatts of connected power to data centers currently and is working to have between 800 megawatts and 1 gigawatt by the end of 2026.

"2025 has been a building year as we put in place the infrastructure and framework for future rapid growth," CEO Arkady Volozh said in a letter to investors. "This year, we believe that we have successfully laid the foundations for an outstanding 2026 -- a year that should firmly position us among the top AI cloud businesses globally. And at the same time, 2026 is still just the beginning."

Trading volume for the day was more than 38.6 million shares by Tuesday afternoon, more than double the stock's daily average trading of 17.5 million shares.

Image source: Getty Images.

What's the outlook for Nebius Group?

Nebius believes it will have between $7 billion and $9 billion in annualized run rate revenue by the end of 2026, which would be a massive jump.

The Meta Platforms deal is the second major deal announced this year by Nebius; it had previously announced a deal with Microsoft to provide dedicated AI infrastructure from its new data center in Vineland, New Jersey starting later this year. That deal was valued between $17.4 billion and $19.4 billion.

Both deals are expected to be reflected on Nebius' bottom line in 2026, which will go a long way to helping the company build out its data centers, expand capacity, and scale the company into profitability.

With the artificial intelligence market size expected to grow from $279.22 billion in 2024 to a whopping $3.5 trillion by 2033, Nebius is positioning itself as a key data center provider. The stock is down today but still showing gains of 263% this year.

Patrick Sanders has positions in Nebius Group. The Motley Fool has positions in and recommends Meta Platforms and Microsoft. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.