Home / Business and Economy / Nebius Facility Delays Spark Concerns
Nebius Facility Delays Spark Concerns
12 Aug
Summary
- Nebius Q2 earnings due in August; analyst cuts price target.
- Vineland facility construction delay may impact capacity goals.
- Wall Street expects a wider Q2 loss but significant revenue growth.
Nebius (NBIS) is scheduled to release its second-quarter earnings on August 12, 2026. Ahead of these results, D.A. Davidson analyst Gil Luria maintained a Hold rating on NBIS stock but reduced his price target to $175 from $250, citing concerns over construction delays at the critical Vineland facility. Luria expressed doubts that the Vineland build-out will be completed within 2026, potentially jeopardizing Nebius's goal of increasing connected power capacity.
The analyst acknowledged Nebius's strong reputation, experienced management, and ability to scale capacity. The company also boasts a better capital structure than competitors like CoreWeave and a valuable stake in Clickhouse, which has supported a significant valuation premium. However, Nebius faces the challenge of significantly expanding its connected power from approximately 170 MW by the end of 2025 to 800-1,000 MW by the end of 2026.
Further investigation into the Vineland facility's progress suggests it may not contribute the anticipated 328 MW of active power by year-end, impacting Nebius's revenue targets. Luria fears this situation could shift the market's positive narrative. Wall Street expects Nebius to report a wider loss per share of $0.72 for Q2 2026, though revenue is projected to surge 442% year-over-year to $569.89 million, driven by robust demand for AI cloud computing.
