Nvidia concept stocks were trading mixed on Thursday. Nebius soared 16% while CoreWeave sank over 11%.

In December, Nebius announced it has raised $700 million through a private placement from a group of investors that included Nvidia. Nvidia disclosed its Nebius stake in a securities filing earlier this year.

Nebius last year announced plans to invest $1 billion in developing AI-related infrastructure in Europe. Nebius is also expanding to the U.S., including data centers in Kansas City and New Jersey.

The company expects to reach 200 megawatts of data center capacity by the end of the year, according to its investor letter.

"Delivering on our rapid growth plans will continue to require considerable investment," Volozh wrote to shareholders. But he said the company's funding from the divestment and $700 million private placement puts Nebius in a "uniquely favorable position to fund our growth."

Along with the AI infrastructure business, Nebius Group included autonomous vehicle developer Avride, education technology company TripleTen and Toloka, a data software company focused on AI.

D.A. Davidson has an underperform rating on CoreWeave’s stock with a price target of $36 — below where it traded when it went public and drastically below where the stock was trading on Friday, near $117.

Perhaps the main takeaway for CoreWeave investors is that the stock’s key driver shouldn’t be based on the Big Tech names it scores. Instead, the focus should be on whether the company can diversify its customer base and build a stable business beyond Nvidia’s support.