Yves Lamoureux, president of Canadian research company Lamoureux & Co, has named cloud provider for artificial intelligence Nebius Group as one of the most promising investments in the artificial intelligence sector. The company is led by Arkady Volozh, a native of Kazakhstan and co-founder of Yandex. However, Lamoureux warned that the market has become like a casino, and the current moment requires maximum caution on the part of investors, writes MarketWatch. 

Details 

With one of the key risks in the market remaining the excessive debt burden of U.S. companies, especially those vulnerable to rising interest rates, strategist Yves Lamouroux favors technology players with sustainable cash flow that do not pay dividends but reinvest profits in development. 

One example he cited was Nebius Group, a Netherlands-based company with a broad portfolio of AI assets, including an investment in ClickHouse, a platform for storing and analyzing big data. According to Lamouroux, Nebius is a "pure AI bet" that can withstand even high market turbulence. "I would invest in it even if the market is volatile," the strategist emphasized.

Nebius shares rose on July 30 on the Nasdaq exchange by about 4% to $52.5, but then lost almost all of their momentum. Since the beginning of the year, the company's quotes have soared more than 80%. 

What else did the analyst say

Lamoureux has changed his optimism to a more reserved stance on the U.S. market, MarketWatch reports. According to his opinion, the rapid growth of stock indexes in 2025 looks like a worrying signal: "Such a violent rally is very rare. This is no longer rational growth, but the behavior of players rather than investors."

Lamoureux compares the current situation to 2021, a period of speculative boom around meme stocks and short-term options. He notes that the market is increasingly resembling a casino, dominated by excitement rather than calculation. In the spring, the analyst predicted that the Dow Jones index would reach 50,000 points by 2027, MarketWatch recalls, but he calls the current jump to 46,000 in two months too sharp and unsustainable.

According to Lamouroux's assessment, the market has entered the "ceiling" phase, and the Dow may fluctuate around 45,000 points in the next two to three years. He advises investors to be cautious, shorting stocks, but not to go completely cachet. "When the market goes down - buy a little bit at a time. When it's rising - sell in installments," the strategist summarizes.

How Nebius is being valued on Wall Street

In mid-July, Goldman Sachs recommended buying Nebius shares, expecting the company's capitalization to grow by more than 50% due to increased demand for generative AI. According to Goldman analyst Alex Duval, the company benefits from the growing interest in AI by offering in-demand GPU infrastructure (cloud servers with graphics cards) with low costs and a proprietary platform. Duval believes that renting Nebius servers for AI processing is more profitable than buying hardware. 

All five analysts who have assigned ratings to Nebius shares advise investors to buy them (four rated Buy and one rated Overweight), according to data from MarketWatch. The Wall Street consensus target price is $66.8 and implies a potential upside of one-third for the securities.

How is the company 

Nebius is growing strongly, writes Benzinga. In the most recent quarter, its revenue increased 385% year over year to $55.3 million. The company is among Nvidia's key partners, getting access to its latest AI chips before anyone else and making it available to its customers, the publication notes.

This article was AI-translated and verified by a human editor

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