AI Research
1 Monster Nvidia-Backed Artificial Intelligence (AI) Data Center Stock To Buy Hand Over Fist Before It Soars 20%, According to a Wall Street Analyst

Key Points
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Rising investment from hyperscalers is leading to a concentration of artificial intelligence (AI) infrastructure hardware.
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Data center company Nebius helps democratize access to Nvidia GPUs through a cloud-based infrastructure services platform.
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Nebius also stands to capture tailwinds from emerging AI applications in robotics, autonomous systems, and software.
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10 stocks we like better than Nebius Group ›
Generally speaking, investors tend to follow the trail of “smart money.” One of the most transparent ways to see where Wall Street is deploying capital is through quarterly 13F filings. These reports are often associated with hedge funds and money managers, but it’s worth noting that large corporations also file them when they allocate capital to outside investments.
Take semiconductor darling Nvidia as a prime example. According to its latest 13F, the company holds equity positions across six stocks: CoreWeave, Arm Holdings, Applied Digital, WeRide, Recursion Pharmaceuticals, and Nebius Group (NASDAQ: NBIS).
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If Nebius isn’t already on your radar, it should be. Shares have surged 154% so far this year, far outpacing the gains across the S&P 500 and Nasdaq. And momentum may not be slowing — Andrew Beale of Arete Research is calling for 20% upside, placing a price target of $84 on Nebius stock.
The combination of corporate backing from Nvidia, coupled with bullish analyst conviction, makes Nebius a tempting growth stock in an otherwise crowded, frothy artificial intelligence (AI) trade.
Let’s unpack how Nebius fits into the AI ecosystem and explore why it’s a compelling under-the-radar opportunity right now.
The infrastructure chapter of the AI narrative is unfolding
Over the last few years, big tech has unleashed record sums of capital expenditures (capex) into AI platforms. From GPUs and servers to networking equipment, hyperscalers are accelerating their data center footprints at an unprecedented pace.
AMZN Capital Expenditures (TTM) data by YCharts
On the surface, rising infrastructure spend appears to benefit Nvidia and other chip businesses most. Yet record GPU demand has created a bottleneck across the tech landscape — and this is precisely where Nebius enters the picture.
Unlike trillion-dollar hyperscalers, most companies developing AI applications lack the financial flexibility to build massive data centers or secure long-term GPU supply. Accessing the hardware needed to power advanced AI models has become a cost-prohibitive, logistically challenging issue.
Nebius solves these problems by operating as a neocloud platform — providing businesses access to Nvidia GPU clusters through a cloud-based infrastructure.
This model essentially democratizes high-performance computing. Rather than pouring billions into data centers, companies can rent scalable GPU capacity from Nebius and accelerate their AI roadmap — all at a fraction of the cost of buying GPUs directly from suppliers.
The value proposition is that Nebius bridges the gap between explosive demand for compute and the concentrated supply of infrastructure within big tech. These dynamics highlight why Nebius is emerging not just as a growth story, but also one positioned as a long-term structural play on the future of AI adoption.
More sophisticated workloads bolster Nebius’s ecosystem
Outside of its core infrastructure business, Nebius also operates three subsidiaries: Avride, Toloka, and TripleTen.
Avride sits at the intersection of autonomous vehicles and delivery robotics — sectors that stand to benefit enormously as AI shifts from reactive models to more sophisticated applications integrated with the physical world.
Toloka and TripleTen, meanwhile, focus more on the software side: specializing in AI data labeling, as well as providing educational services to the next generation of AI engineers.
As AI workloads move into more advanced applications across autonomous systems, robotics, and downstream software and services, Nebius is strategically positioned to participate across multiple growth vectors. This means its total addressable market (TAM) is far larger than it appears at first glance — extending well beyond its cloud infrastructure-as-a-service business.
This diversified ecosystem is what makes Nebius so compelling. Much like Amazon’s evolution from an e-commerce retailer into a leader in cloud computing, advertising, logistics, and entertainment, Nebius is building an AI-centric platform spanning hardware, software, and services. These parallels are what led me to describe Nebius as the Amazon of AI infrastructure in a prior article.

Image source: Getty Images.
Is Nebius stock a buy right now?
According to Nebius’s second-quarter earnings report, management is guiding for up to a $1.1 billion annual recurring revenue (ARR) run rate by December. Given the company’s market cap currently hovers around $16.7 billion, Nebius trades for approximately 15x forward sales guidance.
While the stock isn’t dirt cheap, it’s also not trading at unreasonable levels.
Considering the business is so uniquely positioned to capture AI-driven tailwinds across hardware and software, I still view Nebius as a compelling opportunity to buy and hold as further gains appear to be on the horizon.
With Nvidia’s backing, accelerating ARR, and a diversified ecosystem, Nebius offers investors considerable runway and an under-the-radar opportunity alongside the ongoing AI infrastructure revolution.
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Adam Spatacco has positions in Nvidia. The Motley Fool has positions in and recommends Nvidia. The Motley Fool recommends Nebius Group. The Motley Fool has a disclosure policy.
Disclaimer: For information purposes only. Past performance is not indicative of future results.
AI Research
AI to reshape India’s roads? Artificial intelligence can take the wheel to fix highways before they break, ETInfra

In India, a pothole is rarely just a pothole. It is a metaphor, a mood and sometimes, a meme. It is the reason your cab driver mutters about karma and your startup founder misses a pitch meeting because the expressway has turned into a swimming pool. But what if roads could detect their own distress, predict failures before they happen, and even suggest how to fix them?
That is not science-fiction but the emerging reality of AI-powered infrastructure.
According to KPMG’s 2025 report AI-powered road infrastructure transformation- Roads 2047, artificial intelligence is slowly reshaping how India builds, maintains, and governs its roads. From digital twins that simulate entire highways to predictive algorithms that flag out structural fatigue, the country’s infrastructure is beginning to show signs of cognition.
From concrete to cognition
India’s road network spans over 6.3 million kilometers – second only to the United States. As per KPMG, AI is now being positioned not just as a tool but as a transformational layer. Technologies like Geographic Information System (GIS), Building Informational Modelling (BIM) and sensor fusion are enabling digital twins – virtual replicas of physical assets that allow engineers to simulate stress, traffic and weather impact in real time. The National Highway Authority of India (NHAI) has already integrated AI into its Project Management Information System (PMIS), using machine learning to audit construction quality and flag anomalies.
Autonomous infrastructure in action
Across urban India, infrastructure is beginning to self-monitor. Pune’s Intelligent Traffic Management System (ITMS) and Bengaluru’s adaptive traffic control systems are early examples of AI-driven urban mobility.
Meanwhile, AI-MC, launched by the Ministry of Road Transport and Highways (MoRTH), uses GPS-enabled compactors and drone-based pavement surveys to optimise road construction.
Beyond cities, state-level initiatives are also embracing AI for infrastructure monitoring. As reported by ETInfra earlier, Bihar’s State Bridge Management & Maintenance Policy, 2025 employs AI and machine learning for digital audits of bridges and culverts. Using sensors, drones, and 3D digital twins, the state has surveyed over 12,000 culverts and 743 bridges, identifying damaged structures for repair or reconstruction. IIT Patna and Delhi have been engaged for third-party audits, showing how AI can extend beyond roads to critical bridge infrastructure in both urban and rural contexts.
While these examples demonstrate the potential of AI-powered maintenance, challenges remain. Predictive maintenance, KPMG notes, could reduce lifecycle costs by up to 30 per cent and improve asset longevity, but much of rural India—nearly 70 per cent of the network—still relies on manual inspections and paper-based reporting.
Governance and the algorithm
India’s road safety crisis is staggering: over 1.5 lakh deaths annually. AI could be a game-changer. KPMG estimates that intelligent systems can reduce emergency response times by 60 per cent, and improve traffic efficiency by 30 per cent. AI also supports ESG goals— enabling carbon modeling, EV corridor planning, and sustainable design.
But technology alone won’t fix systemic gaps. The promise of AI hinges on institutional readiness – spanning urban planning, enforcement, and civic engagement.
While NITI Aayog has outlined a national AI strategy, and MoRTH has initiated digital reforms, state-level adoption remains fragmented. Some states have set up AI cells within their PWDs; others lack the technical capacity or policy mandate.
KPMG calls for a unified governance framework — one that enables interoperability, safeguards data, and fosters public-private partnerships. Without it, India risks building smart systems on shaky foundations.
As India looks towards 2047, the road ahead is both digital and political. And if AI can help us listen to our roads, perhaps we’ll finally learn to fix them before they speak in potholes.
AI Research
Mistral AI Nears Close of Funding Round Lifting Valuation to $14B

Artificial intelligence (AI) startup Mistral AI is reportedly nearing the close of a funding round in which it would raise €2 billion (about $2.3 billion) and be valued at €12 billion (about $14 billion).
AI Research
PPS Weighs Artificial Intelligence Policy

Portland Public Schools folded some guidance on artificial intelligence into its district technology policy for students and staff over the summer, though some district officials say the work is far from complete.
The guidelines permit certain district-approved AI tools “to help with administrative tasks, lesson planning, and personalized learning” but require staff to review AI-generated content, check accuracy, and take personal responsibility for any content generated.
The new policy also warns against inputting personal student information into tools, and encourages users to think about inherent bias within such systems. But it’s still a far cry from a specific AI policy, which would have to go through the Portland School Board.
Part of the reason is because AI is such an “active landscape,” says Liz Large, a contracted legal adviser for the district. “The policymaking process as it should is deliberative and takes time,” Large says. “This was the first shot at it…there’s a lot of work [to do].”
PPS, like many school districts nationwide, is continuing to explore how to fold artificial intelligence into learning, but not without controversy. AsThe Oregonian reported in August, the district is entering a partnership with Lumi Story AI, a chatbot that helps older students craft their own stories with a focus on comics and graphic novels (the pilot is offered at some middle and high schools).
There’s also concern from the Portland Association of Teachers. “PAT believes students learn best from humans, instead of AI,” PAT president Angela Bonilla said in an Aug. 26 video. “PAT believes that students deserve to learn the truth from humans and adults they trust and care about.”
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