Nebius Group (NBIS +2.56%) is a high-flying name in the stock market. The tech stock is up 347% in 2025, and up more than 500% since the company was restored to the Nasdaq on Oct. 21, 2024.
Nebius hit all-time highs this October and is trading higher than it did under its previous name, Yandex N.V. It is deeply engaged with the exploding world of artificial intelligence (AI), cloud computing, and data center expansion, so there's a lot of momentum behind the company right now.
Should investors anticipate a stock split for Nebius Group? After all, such a transaction can make an expensive stock more affordable for retail investors, and more attractive to anyone who wants to trade options on the stock.
Let's take a closer look.
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About Nebius stock
Nebius, as mentioned, was formerly known as Yandex N.V. with its primary holding being the Russian internet company also called Yandex. It traded on the Nasdaq exchange under the ticker YNDX, topping $80 at its peak in October 2021. However, after Russia invaded Ukraine and Russian companies were hit with sanctions, Nasdaq suspended trading of Yandex stock in 2022 and threatened to delist it. Yandex successfully appealed the ruling and announced a restructuring in 2023 that included divesting itself of all its Russia-based businesses.
That process completed, the company changed its name to Nebius, rebranded itself as an AI cloud computing platform and returned to the Nasdaq. And the cloud computing business is a great one to be in right now. More companies are eager to develop and run AI programs using a data center rather than spending millions of dollars to build one of their own. Nebius has thousands of Nvidia graphics processing units (GPUs) in its full-stack AI cloud platform, so its chips, servers, storage, and model training environments are available to rent.
NASDAQ: NBIS
Key Data Points
Nebius has been building AI data centers -- and raising money to finance them. It brought in $1.15 billion in a public offering in September, as well as $3.16 billion in an offering of senior convertible notes. It currently has 220 megawatts of power with projects planned in New Jersey, the U.K., Israel, and Finland, and has aspirations to secure 1 gigawatt of cloud computing capacity by next year.
It also has a five-year, $19.4 billion deal with Microsoft to provide dedicated GPU capacity for Microsoft Azure. Nebius stock rose 200% following the announcement.
Nebius isn't making a profit yet, but it's seeing strong revenue gains. Earnings in the second quarter showed revenue of $105.1 million, up 625% from a year ago. The company also announced that it achieved profitability on adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization).
Is Nebius a stock-split candidate?
There's a lot going for Nebius, to be sure. And one day it may very well want to split its stock. But that's a long way down the road, so I don't see Nebius being the next major company that splits.
Companies that perform a forward stock split, in which a company multiplies its share count to existing investors without changing the market capitalization, usually do so because the cost of the stock is prohibitively high. For instance, Chipotle Mexican Grill split its stock in a 50-to-1 transaction in June 2024, in part because management believed the share price in excess of $3,200 made stock inaccessible to its employees.
And there are plenty of other companies trading on U.S. indexes that carry a price much higher than Nebius Group, which is around $125. Booking Holdings is priced at more than $5,200; AutoZone is at $3,820; and Netflix, which last split its stock a decade ago, is $1,100.
If Nebius Group's stock price approaches $500, I would start considering it a stock-split candidate. But it's not there yet.
