Fermi (NASDAQ:FRMI) Trading Up 19.5% – Time to Buy?

Shares of Fermi Inc. (NASDAQ:FRMI) were up 19.5% during mid-day trading on Wednesday . The company traded as high as $6.46 and last traded at $6.7180. Approximately 8,951,978 shares changed hands during mid-day trading, a decline of 25% from the average daily volume of 11,980,362 shares. The stock had previously closed at $5.62.

Analyst Ratings Changes

A number of equities research analysts have issued reports on FRMI shares. Weiss Ratings reiterated a “sell (e+)” rating on shares of Fermi in a research note on Monday, March 23rd. Cantor Fitzgerald assumed coverage on shares of Fermi in a research note on Thursday, April 9th. They set an “overweight” rating and a $8.00 price objective on the stock. UBS Group cut shares of Fermi from a “buy” rating to a “neutral” rating and set a $6.00 price objective on the stock. in a research note on Tuesday, May 5th. Evercore lowered Fermi from an “outperform” rating to an “in-line” rating and set a $11.00 target price on the stock. in a report on Friday, May 15th. Finally, Wall Street Zen cut Fermi from a “hold” rating to a “sell” rating in a report on Sunday, May 10th. Two research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Fermi has a consensus rating of “Moderate Buy” and an average target price of $23.78.

Fermi Stock Up 21.2%

The stock has a market cap of $4.34 billion and a P/E ratio of -6.02. The business has a 50-day simple moving average of $5.75 and a 200-day simple moving average of $8.47.

Fermi (NASDAQ:FRMI) last announced its earnings results on Thursday, May 14th. The company reported ($0.30) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.25). On average, analysts predict that Fermi Inc. will post 0.4 earnings per share for the current fiscal year.

Insider Activity at Fermi

In other news, insider Charles Lynn Hamilton sold 398,140 shares of the company’s stock in a transaction that occurred on Thursday, April 9th. The stock was sold at an average price of $4.58, for a total transaction of $1,823,481.20. Following the completion of the transaction, the insider directly owned 5,525,910 shares in the company, valued at $25,308,667.80. The trade was a 6.72% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder Griffin Perry sold 9,000,000 shares of the company’s stock in a transaction that occurred on Monday, March 30th. The stock was sold at an average price of $5.02, for a total value of $45,180,000.00. Following the transaction, the insider owned 62,946,450 shares of the company’s stock, valued at approximately $315,991,179. This trade represents a 12.51% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 13,593,748 shares of company stock valued at $68,803,933.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of FRMI. Balyasny Asset Management L.P. acquired a new position in shares of Fermi during the fourth quarter worth approximately $16,549,000. Weiss Asset Management LP raised its stake in shares of Fermi by 431.6% in the first quarter. Weiss Asset Management LP now owns 2,415,027 shares of the company’s stock valued at $14,104,000 after purchasing an additional 1,960,764 shares in the last quarter. M&G PLC bought a new stake in shares of Fermi in the 4th quarter valued at approximately $14,443,000. Nuveen LLC acquired a new position in Fermi during the fourth quarter worth $11,067,000. Finally, Millennium Management LLC acquired a new position in Fermi during the fourth quarter worth $10,871,000.

About Fermi

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.