2 Neocloud Stocks to Buy Now After Google Earnings

Google parent Alphabet (GOOG) (GOOGL) recently released its latest earnings report, which wasn't just about stronger AI demand or another impressive increase in capital spending. Buried within the company's commentary was a signal that could have even bigger implications for a fast-growing corner of the AI infrastructure market – neocloud providers.

The tech giant once again raised its 2026 capital expenditure forecast to between $195 billion and $205 billion, underscoring just how aggressively hyperscalers are investing to keep up with the artificial intelligence (AI) boom. But perhaps the more important takeaway came from management's admission that even Google can't build capacity fast enough on its own.

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During the earnings call, CFO Anat Ashkenazi said Google plans to expand its use of third-party computing capacity as a temporary bridge while additional in-house infrastructure comes online. In other words, demand for AI compute is growing faster than hyperscalers can currently supply it.

That comment immediately caught Wall Street's attention because it reinforces one of the biggest investment themes in AI today. Companies offering specialized cloud infrastructure are becoming increasingly important as enterprises race to secure GPU capacity. Instead of waiting years for hyperscalers to expand their own data centers, customers – and even the cloud giants themselves – are increasingly turning to neocloud providers to help bridge the gap.

Investors were quick to connect the dots. Shares of Nebius Group (NBIS) and CoreWeave (CRWV) climbed following Alphabet's earnings call and management's comments, as many viewed them as a vote of confidence in the growing role neocloud companies are playing in the AI ecosystem.

For investors looking to capitalize on the booming neocloud opportunity, NBIS and CRWV stocks could be wise buys now.

Headquartered in Schiphol, the Netherlands, Nebius Group is an AI infrastructure company building a full-stack cloud platform for AI applications. The company provides large-scale GPU clusters, AI cloud services, and developer tools that help enterprises train and deploy AI models. Beyond its core AI business, Nebius owns TripleTen, a technology reskilling platform, and Avride, an autonomous driving and delivery robotics company.

Backed by a strategic partnership with Nvidia (NVDA) and led by founder and CEO Arkady Volozh, Nebius is rapidly expanding its AI supercomputing and cloud infrastructure, serving customers across industries and boasting a market capitalization of roughly $55.9 billion.

Nebius has been one of the standout performers in the AI infrastructure space, rewarding investors who stayed patient through the volatility. Over the past 52 weeks, NBIS stock has soared 277.4%, while gaining 135.2% year-to-date (YTD). The rally accelerated after the company delivered blockbuster first-quarter fiscal 2026 earnings in May, and momentum strengthened further when Nebius was added to the Nasdaq-100 Index in June, bringing even more attention from investors.

Like many high-flying AI stocks, though, the rally eventually paused. After climbing to an all-time high of $299.86 on June 22, NBIS pulled back as investors locked in profits amid broader concerns that AI-related stocks had become too expensive after their massive run.

More recently, however, sentiment has started to improve again. NBIS stock has increased 10.76% over the past five trading sessions after a regulatory filing revealed that Nvidia now owns a 9.3% stake in the neocloud company. Investors viewed the disclosure as another strong vote of confidence from the AI chip leader, reinforcing Nebius' position as a key partner in next-generation AI cloud infrastructure. A fresh round of bullish analyst calls also helped fuel the rebound.

Technically, the picture is improving as well. The stock's 14-day RSI has recovered to 44.07, suggesting bearish momentum has eased, and the shares are no longer in either overbought or oversold territory.

Valuation-wise, NBIS stock is priced at 16.69 times forward sales, representing a premium to the sector average.

Nebius' fiscal Q1 2026 earnings report, released in May, was impressive, with revenue surging 684% year-over-year (YOY) to $399 million. Its core AI business – excluding Avride and TripleTen – grew even faster, with revenue soaring 841% to $390 million. The growth was driven by rapid data center expansion, strong utilization rates, and healthy pricing across its AI cloud platform. Investors welcomed the results, sending NBIS stock up 22.4% over the two trading sessions following the earnings release.