Shares of Nebius were down today for the 6th trading day in a row after hitting a high of $135/share just a week ago. The same trading pattern has befallen peer stocks CoreWeave and IREN. I have gotten a few questions as to what is going on. In terms of specific news regarding financials or major…
The market continues to trade in a consolidation mode, and we took some actions today. Although objectively the inflation news was reasonably positive, and initially stocks rose, selling resumed shortly after the opening. The consolidation trade may last until earnings season gets underway. Or it may last until the next Fed policy meeting. My ability…
We made some changes to the high growth portfolio over the course of Wednesday. Shares of Nebius rocketed. This is partially due to the announcements of the rapid build-out of Project Stargate. Over 80% of Stargate’s $500 billion dollar build out is either completed or under construction. This is far more aggressive than heretofore expected.…
I am getting this to subscribers a bit later than normal-last week’s post ran too long so this was not included. Then too, with the excitement with regards to Oracle and Nebius, my scheduling got severely impacted. Here is the list: the first 3 ideas are the companies that have just reported, i.e. Oracle, Nebius…
While Nebius shares are up 37% so far today, in my view the reaction to the transaction with Microsoft significantly undervalues its transformational nature. Although volume has been substantial, it hasn’t been at a level that suggests a great deal of institutional interest. And so far while there have certainly been articles published on SA,…
For subscribers who have yet to see the news, it was announced this afternoon that Nebius has signed a $17 billion agreement with Microsoft. It is hard to contain enthusiasm for this deal which is epochal for the company. Just as a frame of reference, Nebius had hoped to reach $1.1 billion ARR at the…
Both Pagaya and Nebius have reported their financial results for Q2 this morning. Both companies reported strong numbers and both stocks have appreciated. Because of the appreciation, these two companies now constitute a weight of 22% in the high growth portfolio. That is a relatively high degree of concentration that I will monitor carefully. These…
Summary Nebius delivered a standout Q1, with ARR surging 177% sequentially and revenue up 385% year-on-year, confirming hypergrowth in demand for its AI infrastructure solutions. My buy recommendation is reaffirmed: Nebius’s differentiated full-stack AI platform, rapid capacity expansion, and strong management underpin its ambitious multi-billion dollars of revenue with an adjusted 20%-30% EBITDA margin. Risks…
We made some changes in the high-growth portfolio We sold another 400 shares of Rubrik at 99.73. That brings our holding down to 1100 shares. It now has a weight of approximately 8.1% in the high growth portfolio. The sale netted $39,880. As is often the case, Rubrik shares are having a hard time crossing the…
We added 200 shares of Nebius to the high growth portfolio this morning at a price of $35.11. Nebius shares have been under pressure for the last few days. Today, the company announced that it had entered into a private placement in which it sold $1 billion of convertible preferred shares in 2 tranches. The…