Nebius Stock Sinks as AI Cloud Provider Lowers Revenue Outlook, Lifts Capital Spending Guidance

12:05 PM EST, 11/12/2026 (MT Newswires) -- Nebius' (NBIS) stock sank Thursday after the artificial intelligence cloud provider lowered the top end of its full-year revenue outlook and raised capital spending expectations. Nebius narrowed its 2026 revenue forecast to between $3 billion and $3.2 billion from its previous range of $3 billion to $3.4 billion, Chief Financial Officer Dado Alonso said during an earnings conference call, according to a FactSet transcript. The FactSet-polled consensus is $3.35 billion. Some third-party capacity Nebius expected to come online this year is now scheduled for the first half of 2027, the company said in a shareholder letter. Nebius raised the 2026 capital spending outlook to about $27 billion, from the $20 billion to $25 billion prior range. "We continue to expect 5 gigawatts of contracted power by year end, up from more than 4 gigawatts today," Alonso said on the call. "Demand has never been stronger and the changes in our 2026 guidance are just about timing, not demand." The company's shares plunged 18% in Thursday trading, but have gained 52% this year. The company's preliminary 2027 revenue outlook is for $12 billion to $13 billion, compared with the Street's consensus of $12.09 billion. Its capital expenditure outlook of $40 billion to $45 billion is well above analysts' $28.77 billion estimate. "We expect to reach pre-tax breakeven by the end of 2027," Chief Executive Arkady Volozh said in the letter. Nebius posted a net loss of $0.13 a share for the September quarter, narrowing from a loss of $0.50 a year earlier. Revenue surged 571% to $980.8 million, topping the FactSet-polled consensus of $907.2 million. The quarter included approximately $325 million in non-recurring revenue. AI cloud revenue, which accounted for 99% of the group's top-line, soared 643% to $973.8 million, the company said. On Tuesday, rival CoreWeave (CRWV) reported better-than-expected third-quarter results and raised the full-year revenue guidance. Among larger cloud providers, Amazon.com's (AMZN) Amazon Web Services revenue climbed 39% year-on-year to $45.98 billion in the third quarter, while Alphabet's (GOOG, GOOGL) Google cloud revenue more than doubled to $30.71 billion. Microsoft's (MSFT) Azure grew 48% in its fiscal first quarter. Price: 131.41, Change: -23.28, Percent Change: -15.05