I took a small position a few months back at ~$25. Took another look at the financials and bailed out at 35. Of course it's gone higher since then but like you say this will either be hero or zero. Might pick up again if it drops but otherwise will leave well alone.
Your numbers are way off based upon company projections and other analyst reports. They hope to be EBITA break even in later half of 2025. They should have 1 GW of capacity by 2030 at least. I could go on …….
You realise that EBITDA excludes some big expense categories for them. For a business that is so capital-intensive, excluding depreciation and interest from any profit calculations makes no sense. It would be like if Apple reported Earnings Before Cost of Goods Sold.
You realize that NBIS will have been in business less than one year when it becomes EBITA positive.
I see a possible scenario in a few years where all other companies owned by NBIS sold and they have one GW of GPU producing 10 billion plus revenue with no debt and tremendous cash flow annually.
CEO has 90 percent of net worth in NBIS. Has said repeatedly that subsidiaries would be used to fund data centers. Has over 25 years of experience running data centers at yandex. Much more financially stable than coreweave and is probably 2 -3 years behind coreweave which has an 80 billion dollar valuation with no subsidiaries.
Great article thanks. Very insightful.
I took a small position a few months back at ~$25. Took another look at the financials and bailed out at 35. Of course it's gone higher since then but like you say this will either be hero or zero. Might pick up again if it drops but otherwise will leave well alone.
Thanks again
As I said, its a VC-like investment with VC-like risks.
Your numbers are way off based upon company projections and other analyst reports. They hope to be EBITA break even in later half of 2025. They should have 1 GW of capacity by 2030 at least. I could go on …….
You realise that EBITDA excludes some big expense categories for them. For a business that is so capital-intensive, excluding depreciation and interest from any profit calculations makes no sense. It would be like if Apple reported Earnings Before Cost of Goods Sold.
You realize that NBIS will have been in business less than one year when it becomes EBITA positive.
I see a possible scenario in a few years where all other companies owned by NBIS sold and they have one GW of GPU producing 10 billion plus revenue with no debt and tremendous cash flow annually.
That is of course a possibility. However, I find that unlikely.
CEO has 90 percent of net worth in NBIS. Has said repeatedly that subsidiaries would be used to fund data centers. Has over 25 years of experience running data centers at yandex. Much more financially stable than coreweave and is probably 2 -3 years behind coreweave which has an 80 billion dollar valuation with no subsidiaries.