GPU Infrastructure Players: Can Nebius Match Its Rival's Momentum Into 2026?

The Cloud Computing Race Heats Up

The demand for artificial intelligence computing infrastructure has spawned a new category of cloud providers competing fiercely for market share. CoreWeave (NASDAQ: CRWV) established itself as a prominent player, but it faces a formidable rival in Nebius (NASDAQ: NBIS), which operates a comparable business model centered on delivering graphics processing units (GPUs) through an integrated platform.

Both companies address a critical gap: not every AI developer has sufficient internal computing capacity. Outsourcing to specialized infrastructure providers eliminates single points of failure while enabling rapid scaling. The question for 2026 investors isn’t whether this sector will grow, but which players will capture the most value—and whether either can achieve profitability while scaling.

Staggering Growth Projections for Nebius

Nebius’s origins trace to Yandex, Russia’s search giant, before geopolitical pressures forced a restructuring. The spin-off positioned Nebius to capitalize on the AI infrastructure boom without legacy constraints.

The numbers tell a compelling story:

• Q3 revenue growth: 355% year-over-year expansion
• Current annualized run rate: $551 million
• 2026 projection: $7 billion to $9 billion in annual revenue
• Infrastructure scaling: Expanding contracted power from 1 gigawatt to 2.5 gigawatts

This trajectory represents a 12-16x revenue multiplier in roughly two years—a pace that would transform Nebius from startup to major infrastructure player.

Valuation: Expensive Now, Reasonable Later

At 64 times sales, Nebius’s valuation appears punitive using backward-looking metrics. However, forward sales multiples paint a different picture. When projecting 2026 financials, the current valuation compresses significantly relative to expected growth.

CoreWeave, by comparison, will likely dwarf Nebius by year-end 2026 due to its earlier market entry. Yet Nebius’s rival may follow an analogous expansion trajectory if AI spending sustains current levels. The parallel growth patterns suggest both could achieve substantial appreciation if investor sentiment remains bullish on infrastructure-as-a-service models.

The Profitability Question

Both companies operate in a “growth-at-all-costs” phase, prioritizing market capture over earnings. This strategy works temporarily but faces inevitable pressure: when will they turn profitable?

Mature cloud operators like Amazon Web Services achieve 35% operating margins. If either Nebius or its rival CoreWeave reaches comparable efficiency, they’d qualify as highly successful businesses. Subscription software companies trading at similar profitability levels command valuations of 10-20x sales—suggesting substantial upside remains available even after current stock moves.

The critical variable isn’t growth execution (likely achievable) but market patience with unprofitability timelines. If 2026 brings sustained AI infrastructure demand without profitability breakthroughs, investors may reassess assumptions. Conversely, continued risk appetite could fuel the doubling many analysts expect.

The 2026 Outlook

Whether Nebius and its rival CoreWeave deliver outsized returns depends on two factors: actual revenue execution against projections, and market tolerance for burn rates. The infrastructure opportunity is genuine—GPU scarcity remains acute. Yet valuation premiums can compress if growth disappoints or profitability timelines extend.

For risk-tolerant investors, 2026 could reward GPU infrastructure plays handsomely. For cautious allocators, waiting for clearer paths to profitability may offer a safer entry.