Fermi (NASDAQ:FRMI) Trading 7.6% Higher – Should You Buy?

Shares of Fermi Inc. (NASDAQ:FRMI) traded up 7.6% during trading on Wednesday . The stock traded as high as $8.97 and last traded at $8.4750. 6,143,019 shares traded hands during mid-day trading, a decline of 52% from the average session volume of 12,679,856 shares. The stock had previously closed at $7.88.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Fermi in a report on Monday, March 23rd. UBS Group downgraded shares of Fermi from a “buy” rating to a “neutral” rating and set a $6.00 price objective on the stock. in a report on Tuesday, May 5th. Evercore downgraded shares of Fermi from an “outperform” rating to an “in-line” rating and set a $11.00 price objective on the stock. in a report on Friday, May 15th. Cantor Fitzgerald assumed coverage on shares of Fermi in a report on Thursday, April 9th. They issued an “overweight” rating and a $8.00 price objective on the stock. Finally, Wall Street Zen downgraded shares of 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 given a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Fermi presently has an average rating of “Moderate Buy” and a consensus price target of $23.78.

Fermi Stock Up 13.0%

The stock’s 50-day simple moving average is $5.93 and its two-hundred day simple moving average is $8.21. The company has a market capitalization of $5.68 billion and a price-to-earnings ratio of -7.81.

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

Insiders Place Their Bets

In related news, COO Blanes Jacobo Ortiz sold 427,363 shares of the company’s stock in a transaction dated Thursday, April 9th. The shares were sold at an average price of $4.58, for a total value of $1,957,322.54. Following the completion of the sale, the chief operating officer owned 5,469,092 shares of the company’s stock, valued at approximately $25,048,441.36. This represents a 7.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CFO Miles E. Everson sold 427,004 shares of the company’s stock in a transaction dated Thursday, April 9th. The shares were sold at an average price of $4.58, for a total transaction of $1,955,678.32. Following the completion of the sale, the chief financial officer directly owned 9,969,791 shares of the company’s stock, valued at $45,661,642.78. This represents a 4.11% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 13,593,748 shares of company stock valued at $68,803,933.

Institutional Investors Weigh In On Fermi

Hedge funds have recently modified their holdings of the company. Leonteq Securities AG purchased a new stake in shares of Fermi in the fourth quarter valued at about $30,000. PNC Financial Services Group Inc. purchased a new stake in shares of Fermi in the fourth quarter valued at about $36,000. Aspect Partners LLC purchased a new stake in shares of Fermi in the fourth quarter valued at about $38,000. SBI Securities Co. Ltd. purchased a new stake in shares of Fermi in the fourth quarter valued at about $41,000. Finally, NewEdge Advisors LLC purchased a new stake in shares of Fermi in the first quarter valued at about $54,000.

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.