Nebius Group (NASDAQ: NBIS) has been one of the standout AI stories in the market this year, with shares up almost 240% year to date. But the recent bout of AI-related volatility has tested the resolve of even the most committed believers in the neocloud thesis. After surging to an all-time high of $299.86 on June 22, the stock pulled back meaningfully as fears around AI valuations and the durability of the trade swept through the technology sector. Since reaching that all-time high earlier in June, the stock has fallen by almost 13%.
The question now facing investors is straightforward: Does Nebius' elevated valuation leave it dangerously exposed if those fears intensify, or is this still one of the best long-term ways to play the AI infrastructure buildout?
