Michael Burry’s Bearish Bet Against Nebius Stock Sends a Warning Message to AI Bulls

Nebius Group (NBIS) recently posted one of the best quarters any AI cloud company has reported all year. Revenue more than quintupled, and the tech stock surged over 34% in a single trading session, following its Q2 results.

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The investor, famous for calling the 2008 housing crash, added to his short position in Nebius the same day the numbers came out. Burry's reasoning has less to do with Nebius itself than with what he thinks the whole AI buildout looks like right now.

Nebius, the Amsterdam-based, Nvidia-powered (NVDA) AI cloud provider that spun out of the Russian internet company Yandex, reported Q2 revenue of $582 million, up 454% year-over-year (YoY). By comparison, Wall Street forecast revenue of $572.75 million in Q2.

The company's core AI cloud segment grew even faster, jumping 514% to $575 million, and its annualized run rate revenue topped $3 billion by the end of June, up from $1.9 billion in Q1.

Nebius closed four contracts averaging more than $1 billion each during the quarter, with customers including Reflection, Cohere, a major U.S. lab, and a large U.S. quant trading firm.