Fermi (NASDAQ:FRMI) Stock Price Up 12.5% – Time to Buy?

Fermi Inc. (NASDAQ:FRMI) shares rose 12.5% during mid-day trading on Friday . The stock traded as high as $10.42 and last traded at $10.42. Approximately 4,122,261 shares were traded during trading, a decline of 37% from the average daily volume of 6,584,877 shares. The stock had previously closed at $9.26.

Fermi News Summary

Here are the key news stories impacting Fermi this week:

• Positive Sentiment: Evercore ISI initiated coverage with a Buy, providing a visible sell‑side endorsement that can attract momentum investors and analysts. Article Title
• Positive Sentiment: Fermi announced/closed a $500 million financing round (reported Feb. 11), which materially improves cash runway for Project Matador and lowers near‑term dilution/financing risk. Article Title
• Positive Sentiment: Progress on the Hyundai E&C strategic partnership and Project Matador (nuclear/construction collaboration via Fermi America) supports the firm’s long‑term revenue narrative for energy/AI infrastructure. Article Title
• Positive Sentiment: Unusually heavy call‑option buying was reported (about 19,659 calls), indicating bullish speculative flow or hedged buying from sophisticated traders that can amplify intraday upside.
• Neutral Sentiment: Some market commentary and comparative analyses have been published (coverage by finance sites and head‑to‑head pieces), which can increase investor attention but are not direct catalysts.
• Neutral Sentiment: Reported short‑interest data in recent feeds appears anomalous/erroneous (zero/NaN entries); treat short‑squeeze narratives cautiously until exchanges update filings.
• Negative Sentiment: Multiple securities‑fraud class‑action notices and law‑firm solicitations were filed/issued relating to the October 2025 IPO and subsequent disclosures; this breadth of litigation outreach increases legal uncertainty and potential headline risk. Article Title
• Negative Sentiment: Hagens Berman has flagged alleged misrepresentations tied to demand for Project Matador and an asserted ~$150M anchor‑tenant exit — a specific allegation that could materially affect revenue forecasts and valuations if substantiated. Article Title

Analysts Set New Price Targets

Several analysts have weighed in on the company. Rothschild & Co Redburn set a $31.00 price objective on Fermi in a report on Monday, October 27th. Weiss Ratings started coverage on shares of Fermi in a research note on Wednesday, December 24th. They set a “sell (e+)” rating for the company. Berenberg Bank started coverage on shares of Fermi in a report on Monday, October 27th. They issued a “buy” rating and a $37.00 price objective on the stock. Citigroup assumed coverage on shares of Fermi in a report on Monday. They set an “outperform” rating for the company. Finally, Mizuho began coverage on Fermi in a research note on Monday, October 27th. They issued an “outperform” rating and a $27.00 price target on the stock. Three investment analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, Fermi currently has a consensus rating of “Buy” and an average target price of $31.44.

Fermi Stock Performance

The stock has a market capitalization of $6.20 billion and a price-to-earnings ratio of -12.02. The stock has a 50 day moving average of $9.59.

Fermi (NASDAQ:FRMI) last posted its earnings results on Monday, November 10th. The company reported ($0.84) earnings per share for the quarter.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Leonteq Securities AG bought a new stake in shares of Fermi in the fourth quarter worth about $30,000. PNC Financial Services Group Inc. acquired a new position in shares of Fermi in the 4th quarter valued at approximately $36,000. Aspect Partners LLC bought a new stake in Fermi during the 4th quarter worth approximately $38,000. SBI Securities Co. Ltd. bought a new position in Fermi in the fourth quarter valued at approximately $41,000. Finally, Prime Capital Investment Advisors LLC acquired a new position in shares of Fermi in the fourth quarter valued at approximately $84,000.

Fermi Company Profile

Fermi’s mission is to power the artificial intelligence (“AI”) needs of tomorrow. We are an advanced energy and hyperscaler development company purpose-built for the AI era. Our mission is to deliver up to 11 gigawatts (“GW”) of low-carbon, HyperRedundant™, and on-demand power directly to the world’s most compute-intensive businesses with 1.1 GW of power projected to be online by the end of 2026. We have entered into a long-term lease on a site large enough to simultaneously house the next three largest data center campuses by square footage currently in existence.