Phase Space AI

Nebius Group

NBIS · investment memo

Valuation margin
demonstrated − required CAGR
Required CAGR
Demonstrated
Terminal margin
20.4%
Exit multiple
Company state
D
Terminal margin basis

Median EBIT margin of the memo's growth-matched comparator set, used as the fixed terminal margin in the reverse DCF. NOT the universe-wide 14.4% constant - that defect does not apply here. BUT the file itself grades this 'QUALIFIED / effectively INDETERMINATE': it is drawn from the SAME five-name set the memo declares UNIDENTIFIED for the exit multiple (ABTS $3m, ATRA $70m, ANAB $1,517m, ANTA $75m, AXIL $40m - four of five sub-$100m shells), and valuation.md requires a named, evidenced mechanism for a loss-maker terminal margin, which is not supplied. Recorded because it is the figure the solve actually used; the finding does not depend on it (NO SOLUTION across the entire defensible exit-multiple range).

Risk & exit

Four distinct questions, one field each. A price is not a thesis: the trigger below forces a re-underwrite and freezes further purchases — it is never an automatic sell.

Risk trigger
25% below the memo price
$127.29

A daily close below $127.29 triggers a mandatory re-underwrite and freezes further purchases. It is not an automatic sell unless a separate fundamental invalidation condition has been breached.

Thesis-invalidation conditions

Not stated. This name has no falsifiable invalidation conditions on file, so it cannot be risk-monitored. That is a gap in the research, not a clean bill of health — recorded rather than hidden.

Impairment case

Type: MEASURED. criteria.md is explicit about why: the principal declined to set a cap — *"I don't know if I trust the bear case analyses… I saw too many examples of downside cases without much backbone or rigorousness being used to exclude good investments."* A binding test resting on an untrusted estimate reproduces the defect where sizing maximised over a known-biased number. It therefore constrains nothing. The most interesting fact about this bear case is that nobody is contesting it. Across six earnings calls, no participant on either si

Documents

Nebius Catalyst Calendar 2026-07-27 Nebius Criteria and Valuation 2026-07-29 Nebius Research Document 2026-07-27 Nebius Trade Construction 2026-07-27 Nebius Valuation Analysis 2026-07-27