The Artificial Intelligence (AI) Stock That Wall Street Says Could Rally 58% From Here

By Harsh Chauhan – Mar 13, 2026 at 1:30PM ESTKey PointsNebius is aggressively adding data center capacity to ensure that it can fill the supply gap and quickly grow its business.Not surprisingly, analysts believe that Nebius' impressive stock market rally will continue in the coming year.Nebius Group (NBIS +4.29%) has been one of the hottest artificial intelligence (AI) stocks on the market over the past year, rising an incredible 333% during this period, driven by phenomenal growth fueled by booming demand for dedicated AI data center capacity. Nebius is a neocloud infrastructure provider that operates dedicated AI data centers powered by Nvidia's graphics processing units (GPUs). Customers can rent cloud capacity to build and run AI applications, access popular AI models, build and tune proprietary models, and perform other tasks, such as generating images and creating AI agents. The full-stack nature of Nebius' cloud infrastructure platform makes it ideal for hyperscalers and AI companies to run AI workloads in the cloud. The good news for investors is that this AI stock is poised for further upside, even after surging impressively over the past year. Let's see why that's the case. Image source: Getty Images. Nebius' incredible growth should help it sustain its red-hot rally Nebius's 12-month median price target of $150 would mean a 36% jump in its stock price from current levels. The interesting point to note is that analysts expect such impressive upside despite Nebius' high price-to-sales ratio of 45. However, that expensive multiple is justified by a potential jump of over 6x in Nebius' top line in 2026 from last year's levels of $530 million. As the chart shows, Nebius' revenue is poised to multiply nicely. Data by YCharts. It is easy to see why Nebius is on track to clock exponential growth. The demand for dedicated AI data center infrastructure is exceeding supply, a trend expected to continue until the end of the decade, according to Goldman Sachs. Nebius is filling that gap by building new data centers. More importantly, recent developments indicate that Nebius is positioning itself for terrific long-term growth by investing aggressively in additional data center capacity. The long-term picture points toward a bright future Nebius management said it believes the company can increase its active data center power capacity to 800 megawatts (MW) to 1 gigawatt (GW) by the end of 2026, up from 170 MW last year. The company recently announced it has received approval to build an AI factory in Missouri with a potential capacity of up to 1.2 GW. This project alone could double Nebius' capacity compared to what it projects at the end of 2026. ExpandNASDAQ: NBISNebius GroupToday's Change(4.29%) $4.64Current Price$112.68Key Data PointsMarket Cap$27BDay's Range$110.26 - $116.5452wk Range$18.31 - $141.10Volume582KAvg Vol13MGross Margin-765.63% Additionally, investors should note that Nebius can deliver solid upside even if it doesn't trade at the significant premium that it commands right now. Assuming it trades at even 7 times sales at the end of 2028 (in line with the U.S. tech sector's average), its market cap could jump to $102 billion over the next three years. That points to a potential increase of almost 4x over its current market cap. Of course, Nebius' expensive valuation exposes the stock to volatility. However, growth-oriented investors can consider buying it, as it can deliver market-beating returns over the long run and could become a multibagger.Read NextMar 12, 2026 •By Leo SunNvidia Just Invested $2 Billion in This AI Cloud Stock -- Here's Why It Could Soar in 2026Mar 12, 2026 •By Keith SpeightsWhere Will Nebius Group Be in 5 Years?Mar 11, 2026 •By Joe TenebrusoWhy Nebius Stock Surged TodayMar 11, 2026 •By Jose NajarroNvidia Gave 2 Billion Reasons for Nebius Shareholders to be BullishMar 4, 2026 •By Danny Vena, CPAWhy Nebius Group Stock Charged Higher on WednesdayFeb 27, 2026 •By Jeremy BowmanWhy Nebius Group Stock Was Down Double-Digits TodayAbout the AuthorHarsh Chauhan is a contributing Motley Fool technology analyst covering semiconductors, consumer electronics, artificial intelligence, and software. Harsh previously worked as a journalist for CCN Markets covering crypto and macroeconomics, a contributor at Capital 10x covering metals, mining, and industrial stocks, and a research associate at Zacks Investment Research. He holds a bachelor’s degree in commerce from St. Xavier’s College in Kolkata, India.TMFTechJunk13X@techjunk13Stocks MentionedNebius GroupNASDAQ: NBIS$112.68(+4.29%)+$4.64*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.