Fermi (NASDAQ:FRMI) Stock Jumps 3.1% – Still a Buy?

Fermi Inc. (NASDAQ:FRMI)’s share price shot up 3.1% on Tuesday. The stock traded as high as $2.75 and last traded at $2.62. Approximately 21,157,609 shares were traded during mid-day trading, an increase of 33% from the average session volume of 15,882,618 shares. The stock had previously closed at $2.54.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the stock. Weiss Ratings downgraded shares of Fermi from a “sell (d-)” rating to a “sell (e+)” rating in a report on Friday, August 14th. Mizuho cut their target price on Fermi from $27.00 to $11.00 and set an “outperform” rating on the stock in a research report on Tuesday, July 28th. Finally, Cantor Fitzgerald lowered their price target on Fermi from $12.00 to $8.00 and set an “overweight” rating for the company in a research report on Friday, October 16th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Fermi presently has a consensus rating of “Moderate Buy” and a consensus target price of $16.86.

Fermi Trading Down 6.5%

The business’s 50-day simple moving average is $4.39 and its 200-day simple moving average is $6.58. The company has a market capitalization of $1.81 billion and a PE ratio of -2.40.

Fermi (NASDAQ:FRMI) last announced its quarterly earnings results on Thursday, August 13th. The company reported ($0.04) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.02. During the same quarter last year, the firm earned ($0.02) EPS. Sell-side analysts forecast that Fermi Inc. will post -0.33 EPS for the current fiscal year.

Insider Activity

In related news, major shareholder Toby Neugebauer sold 420,749 shares of the stock in a transaction on Tuesday, October 20th. The stock was sold at an average price of $3.04, for a total value of $1,279,076.96. Following the completion of the sale, the insider directly owned 91,188,910 shares in the company, valued at approximately $277,214,286.40. This represents a 0.46% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders have sold a total of 4,467,949 shares of company stock valued at $15,622,757 over the last ninety days. 2.83% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Fermi

A number of institutional investors have recently modified their holdings of the stock. Integrated Wealth Concepts LLC purchased a new stake in shares of Fermi during the second quarter valued at $41,000. NewEdge Advisors LLC purchased a new stake in shares of Fermi during the first quarter worth approximately $54,000. SteelPeak Wealth LLC acquired a new stake in shares of Fermi in the third quarter valued at about $42,000. Farther Finance Advisors LLC grew its position in shares of Fermi by 139.1% in the third quarter. Farther Finance Advisors LLC now owns 10,456 shares of the company’s stock valued at $44,000 after purchasing an additional 6,083 shares in the last quarter. Finally, Financial Management Professionals Inc. acquired a new stake in shares of Fermi in the 2nd quarter worth $104,000.

About Fermi

Fermi, Inc (NASDAQ: FRMI) is an energy and infrastructure company focused on developing large-scale power and data center facilities for artificial intelligence and other high-performance computing applications. Its business model centers on integrating electricity generation, energy storage and data center infrastructure within a single campus.

The company’s principal development is Project Matador, a planned energy and data center campus in the Texas Panhandle. The project is designed to use a mix of power sources, including nuclear energy, natural gas, solar generation and battery storage, with the goal of providing reliable electricity for data center customers.

Fermi’s activities are currently concentrated in the United States, particularly Texas.