Shares of Nebius Group NV (NBIS), the artificial intelligence (AI) cloud infrastructure company, surged 5.64% in intraday trading on Wednesday, reflecting strong bullish sentiment and recent positive developments for the company.

The stock's impressive climb can be attributed to several factors. First and foremost, Nebius recently announced a blockbuster multi-year deal with Microsoft, valued at $17.4 billion through 2031. This significant contract has bolstered investor confidence in the company's long-term growth prospects and its position in the competitive AI infrastructure market.

Additionally, market data shows bullish options activity for NBIS, with trading volume running well above average. This increased options activity suggests that traders are positioning themselves for potential further upside in the stock.

Nebius has been one of the standout performers in the AI sector this year, with its stock price up over 400% year-to-date. The company's explosive growth is underscored by its most recent quarterly results, which saw revenue skyrocket by 625% year-over-year. As demand for AI computing power continues to surge, Nebius' neocloud offerings are attracting significant interest from major tech players.

While the stock's rapid ascent and the company's ongoing losses may raise concerns about valuation, many investors appear to be betting on Nebius' potential to capture a significant share of the growing AI infrastructure market. As the AI boom continues, Nebius remains a stock to watch in this high-growth sector.