Fermi (NASDAQ:FRMI) Shares Up 13.8% – Still a Buy?

Fermi Inc. (NASDAQ:FRMI) shares rose 13.8% on Thursday. The company traded as high as $2.30 and last traded at $2.06. Approximately 86,298,625 shares were traded during mid-day trading, an increase of 415% from the average session volume of 16,745,449 shares. The stock had previously closed at $1.81.

Analysts Set New Price Targets

Several equities analysts have issued reports on FRMI shares. Mizuho dropped 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. Cantor Fitzgerald decreased their price target on Fermi from $12.00 to $8.00 and set an “overweight” rating on the stock in a research note on Friday, October 16th. Finally, Weiss Ratings lowered Fermi from a “sell (d-)” rating to a “sell (e+)” rating in a report on Friday, August 14th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $13.83.

Fermi Stock Up 13.8%

The stock’s fifty day simple moving average is $3.68 and its 200-day simple moving average is $6.20. The company has a market capitalization of $1.32 billion and a PE ratio of -1.75.

Fermi (NASDAQ:FRMI) last released its quarterly earnings results on Thursday, November 12th. The company reported ($0.22) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.07) by ($0.15). Analysts expect that Fermi Inc. will post -0.33 EPS for the current year.

Insider Activity

In related news, major shareholder Toby Neugebauer sold 5,000,000 shares of the company’s stock in a transaction that occurred on Thursday, November 5th. The stock was sold at an average price of $1.52, for a total value of $7,600,000.00. Following the sale, the insider owned 84,813,010 shares of the company’s stock, valued at approximately $128,915,775.20. This represents a 5.57% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In the last three months, insiders sold 12,125,749 shares of company stock worth $28,639,969. Insiders own 2.83% of the company’s stock.

Hedge Funds Weigh In On Fermi

Institutional investors have recently made changes to their positions in the stock. NewEdge Advisors LLC increased its position in Fermi by 22.5% during the 2nd quarter. NewEdge Advisors LLC now owns 11,431 shares of the company’s stock worth $105,000 after purchasing an additional 2,101 shares in the last quarter. Integrated Wealth Concepts LLC purchased a new position in Fermi in the 2nd quarter valued at about $41,000. Farther Finance Advisors LLC boosted its stake in shares of Fermi by 139.1% during the 3rd 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 during the last quarter. GW&K Investment Management LLC boosted its stake in shares of Fermi by 128.4% during the 3rd quarter. GW&K Investment Management LLC now owns 11,748 shares of the company’s stock worth $49,000 after purchasing an additional 6,604 shares during the last quarter. Finally, HighTower Advisors LLC grew its holdings in shares of Fermi by 9.6% during the third quarter. HighTower Advisors LLC now owns 77,568 shares of the company’s stock worth $327,000 after buying an additional 6,816 shares in the last quarter.

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.