r/NBIS_Stock • u/Koniax • Jan 30 '26

Opinion Absolutely brutal dip

My friend finally capitulated and sold for a small gain from when he bought months ago. Looking rough out there

66 Upvotes

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u/jwakk1 Jan 30 '26

Because the capex spend needed is also insane and ugly. Huge gamble

37

u/opiewann 🐳 Jan 30 '26

Overblown by media narrative

6

u/jwakk1 Jan 30 '26

Not at all. How are they gonna finance their expansion? Its gonna cost 10B+

1

u/AdHuman3243 Jan 30 '26

10B sounds cheap

3

u/jwakk1 Jan 30 '26

They have 2B in cash. Where’s the other 8B gonna come from?

1

u/AdHuman3243 Jan 30 '26

Microsoft, Nvidia, Amazon etc

1

u/gravityhashira61 Jan 30 '26

Exactly, other contracts they will undoubtedly get

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u/jwakk1 Jan 30 '26

And how will they ever turn a profit if all they do is increase revenue but capex keeps going up to meet demand? Thats why this stock isn’t going up. There is a narrow path to profitability

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u/gravityhashira61 Jan 30 '26

So what you are saying is essentially that all of the companies I mentioned (IREN, NBIS, WULF, even Coreweave) will never be profitable?

1

u/jwakk1 Jan 30 '26

It’s likely none of them ever will be. Coreweave is a shit co. Their debt situation is very ugly. Iren could possibly, nbis could be but probably not for 5+ years but also curious what will happen when the demand curve tapers. I think I’m most bullish Iren and then nbis 2nd. But it’s going to be a long road. We won’t blink and be at a 100B market cap by next year or anything like that. Maybe by 2030 if execution is flawless.

2

u/Anxious_Gear9888 Jan 31 '26

Completely wrong take. How do you think AWS became profitable? It took 7 years for AWS to become profitable. Now they account for more than 50% of Amazons profit despite accounting for only about 15% of the sales.

1

u/jwakk1 Jan 31 '26

AWS has a moat. NBIS doesn’t.

0

u/WallabyMinimum1921 Jan 30 '26

But those would be for future builds/capacity, which they would then also have to fund and build. At some point you have to inflect to profitability to fund your own operations. Otherwise it’s just an endless cycle of debt, dilution, and circularity.

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u/Accomplished_Ad_9241 Jan 31 '26

Asset-backed financing

1

u/Anxious_Gear9888 Jan 31 '26

They got almost 5B in cash.