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Nebius Falls After Q3 Miss as Equity Sale Plan Fuels Dilution Fears

Heavy capital needs now overshadow rapid growth.

Overview

  • Revenue came in at $146.1 million for Q3, below estimates, and full‑year guidance of $500 million to $550 million trailed the roughly $578 million consensus.
  • Nebius disclosed an equity distribution agreement to sell up to 25 million Class A shares, intensifying investor concerns about dilution.
  • Shares extended their slide following the results, down about 33% from last month’s peak and roughly 7% on Thursday morning.
  • Management highlighted sold‑out data‑center capacity and multi‑year hyperscaler contracts, including a $3 billion five‑year Meta deal and a $17.4 billion Microsoft agreement.
  • The company is targeting 2.5 gigawatts of contracted capacity by late 2026 and about $8 billion in ARR, with industry leaders noting that energy and data‑center space are the primary constraints.