TLDR
- Nebius (NBIS) jumped over 5% to ~$229.94 on Tuesday after announcing a Physical AI Living Lab with NVIDIA
- The six-month program gives UK and European robotics startups access to NVIDIA tools and Nebius AI Cloud infrastructure
- Bank of America raised its price target on NBIS to $280 from $240, maintaining a Buy rating
- Nebius also revealed a £1.7 billion investment to build AI infrastructure across four UK sites, targeting 65MW capacity by 2027
- A 22-megawatt, 10-year deal with Kao Data at its Harlow campus was also formalized as part of the UK expansion
Nebius Group (NBIS) was trading around $229.94 on Tuesday, up over 5%, as a wave of positive news hit the market. The stock had dropped roughly 9% over the prior week, so Tuesday’s move gave bulls something to work with.
The headline catalyst was the launch of the Physical AI Living Lab, a joint program with NVIDIA (NVDA) aimed at UK and European robotics startups. The six-month initiative gives participants access to NVIDIA’s Cosmos, Isaac, and OSMO platforms, covering simulation, synthetic data generation, and AI model development.
The first cohort kicks off in September 2026, with plans to expand the program to other regions in future rounds.
“Founders get the full NVIDIA physical AI stack on Nebius AI Cloud and direct time with our engineers, so they spend time building robots, not assembling infrastructure,” said Evan Helda, Head of Physical AI at Nebius.
The program runs on Nebius’s UK infrastructure, powered by NVIDIA RTX PRO 6000 Blackwell Server Edition GPUs — the latest generation of NVIDIA hardware.
Bank of America Lifts Price Target to $280
Alongside the NVIDIA news, Bank of America raised its price target on NBIS to $280, up from $240, while keeping its Buy rating in place. That’s a fresh institutional stamp of approval that landed at a useful moment for the stock.
The BofA upgrade wasn’t the only macro-level news in play. NASDAQ 100 Futures were up 0.8% on Tuesday morning, and S&P 500 Futures added 0.4%, giving AI-related names a broader tailwind.
£1.7 Billion UK Expansion and Kao Data Deal
The Physical AI Lab announcement came alongside a larger UK infrastructure story. Nebius unveiled plans for a £1.7 billion investment across four UK sites, deploying NVIDIA Blackwell Ultra systems. The combined footprint is expected to hit 65 megawatts of capacity when fully operational in 2027.
The company also formalized a 22-megawatt, 10-year deal with Kao Data at its Harlow campus, locking in long-term infrastructure capacity in the UK.
Nebius has also been expanding its London commercial and AI R&D hub, reinforcing its push to become a full-stack AI cloud provider in Europe.
The company is up roughly 142% year-to-date, despite the recent pullback. Its stock sat at $218 at the prior close before Tuesday’s move.
Nebius already holds multi-year cloud contracts with Microsoft and Meta, which have helped keep analyst sentiment broadly bullish heading into this stretch of news.
The convergence of the NVIDIA partnership, the BofA price target raise, the Kao Data agreement, and the £1.7 billion UK commitment all landed within a tight window — and the market responded accordingly.
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