Fermi (NASDAQ:FRMI) Stock Jumps 5.7% – Should You Buy?

Fermi Inc. (NASDAQ:FRMI) shares shot up 5.7% during trading on Monday. The stock traded as high as $1.7150 and last traded at $1.66. 23,077,644 shares changed hands during trading, an increase of 41% from the average daily volume of 16,346,043 shares. The stock had previously closed at $1.57.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on FRMI shares. Mizuho decreased their price objective on Fermi from $27.00 to $11.00 and set an “outperform” rating for the company in a report on Tuesday, July 28th. Cantor Fitzgerald lowered their target price on shares of Fermi from $12.00 to $8.00 and set an “overweight” rating on the stock in a research report on Friday, October 16th. Finally, Weiss Ratings downgraded shares of Fermi from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Friday, August 14th. 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. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $16.86.

Fermi Trading Up 5.7%

The company has a 50 day simple moving average of $3.88 and a 200 day simple moving average of $6.31. The stock has a market capitalization of $1.06 billion and a PE ratio of -1.41.

Fermi (NASDAQ:FRMI) last announced its earnings results on Thursday, August 13th. The company reported ($0.04) earnings per share for the quarter, beating the consensus estimate of ($0.06) by $0.02. During the same period in the previous year, the company earned ($0.02) earnings per share. On average, equities research analysts predict that Fermi Inc. will post -0.33 EPS for the current year.

Insider Activity at Fermi

In related news, major shareholder Toby Neugebauer sold 5,000,000 shares of the stock in a transaction on Thursday, November 5th. The stock was sold at an average price of $1.52, for a total transaction of $7,600,000.00. Following the completion of the sale, the insider directly owned 84,813,010 shares of the company’s stock, valued at $128,915,775.20. This trade represents a 5.57% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders sold a total of 12,125,749 shares of company stock worth $28,639,969 in the last three months. 2.83% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Fermi

A number of large investors have recently bought and sold shares of the company. NewEdge Advisors LLC lifted its stake in shares of Fermi by 22.5% in the 2nd quarter. NewEdge Advisors LLC now owns 11,431 shares of the company’s stock worth $105,000 after acquiring an additional 2,101 shares during the period. Integrated Wealth Concepts LLC acquired a new position in shares of Fermi during the second quarter worth about $41,000. Farther Finance Advisors LLC raised its holdings in Fermi by 139.1% during the third quarter. Farther Finance Advisors LLC now owns 10,456 shares of the company’s stock worth $44,000 after purchasing an additional 6,083 shares in the last quarter. Moors & Cabot Inc. raised its holdings in Fermi by 3.3% during the third quarter. Moors & Cabot Inc. now owns 238,609 shares of the company’s stock worth $1,005,000 after purchasing an additional 7,605 shares in the last quarter. Finally, SteelPeak Wealth LLC acquired a new stake in Fermi in the third quarter valued at about $42,000.

Fermi Company Profile

Fermi Inc develops energy and data-center infrastructure intended to support artificial intelligence and other high-performance computing needs. Its business centers on planning and building integrated campuses that pair large-scale power resources with data-center facilities.

The company’s flagship development is Project Matador, a planned campus in the Texas Panhandle near Amarillo. The project is designed to combine data centers with a mix of power-generation and energy-storage resources; it remains a development project rather than an established portfolio of operating facilities.

Fermi was co-founded by Toby Neugebauer and former Texas governor and U.S.