Both AI cloud firms just reported, and both gave investors plenty to cheer. CoreWeave's (CRWV) stock rose 19.28% on the back of a strong quarter. This wasn't going to be easy to top.
A day later, though, Nebius (NBIS) reported an even more extraordinary performance, and the stock jumped 34.14%. Great showings all around. But if you can only own one, Nebius is the better pick.
This quarter only makes that case more compelling. A $210 Billion Reason to Buy AMD Stock Here As Oracle Deepens Its Partnership with AWS, Here's How You Should Play ORCL Stock Netflix Stock Is Cheap and It Has More Than 70% Upside Potential Here Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else.
Nebius led with revenue of $582.3 million, skyrocketing 454% from a year ago and well ahead of estimates. The bigger story is profitability. Adjusted EBITDA went from a $21 million loss for the same period last year to a $236.2 million profit this time.
Its annualized revenue run-rate reached $3 billion, and operating cash flow came in at $2.3 billion, leaving the company with $8 billion in cash. Revenue more than doubled to $2.58 billion, and its backlog climbed to over $104 billion. But its net loss widened from $290 million a year earlier to $626 million.
Neither company is funding this buildout from cash alone. The difference is the scale of the debt. CoreWeave ended the quarter with roughly $35.6 billion in total debt against $5.5 billion in cash.
Extract — continue reading at the source.
