Fermi (NASDAQ:FRMI) Trading Down 8.5% – Time to Sell?

Fermi Inc. (NASDAQ:FRMI) traded down 8.5% on Tuesday . The company traded as low as $6.01 and last traded at $5.9950. 2,241,516 shares were traded during mid-day trading, a decline of 81% from the average session volume of 11,765,271 shares. The stock had previously closed at $6.55.

Wall Street Analyst Weigh In

FRMI has been the subject of several analyst reports. Weiss Ratings reiterated a “sell (e+)” rating on shares of Fermi in a research note on Monday, March 23rd. Wall Street Zen lowered Fermi from a “hold” rating to a “sell” rating in a research note on Sunday, May 10th. UBS Group lowered Fermi from a “buy” rating to a “neutral” rating and set a $6.00 target price for the company. in a research note on Tuesday, May 5th. Citigroup initiated coverage on Fermi in a research note on Monday, February 9th. They issued an “outperform” rating for the company. Finally, Cantor Fitzgerald initiated coverage on Fermi in a research note on Thursday, April 9th. They issued an “overweight” rating and a $8.00 target price for the company. Two equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Fermi currently has an average rating of “Moderate Buy” and an average target price of $23.78.

Fermi Stock Down 0.3%

The company has a 50 day moving average of $6.10 and a 200 day moving average of $10.08. The stock has a market capitalization of $3.86 billion and a price-to-earnings ratio of -5.32.

Fermi (NASDAQ:FRMI) last posted its quarterly 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, research analysts forecast that Fermi Inc. will post 0.4 earnings per share for the current fiscal year.

Insider Transactions at Fermi

In other Fermi news, major shareholder Griffin Perry sold 2,000,000 shares of the business’s stock in a transaction dated Tuesday, March 31st. The stock was sold at an average price of $5.54, for a total transaction of $11,080,000.00. Following the completion of the sale, the insider owned 60,946,450 shares of the company’s stock, valued at approximately $337,643,333. The trade was a 3.18% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Miles E. Everson sold 427,004 shares of the business’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 $1,955,678.32. Following the sale, the chief financial officer directly owned 9,969,791 shares of the company’s stock, valued at approximately $45,661,642.78. This trade represents a 4.11% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 13,435,207 shares of company stock worth $67,803,539 in the last three months.

Institutional Investors Weigh In On Fermi

A number of institutional investors have recently added to or reduced their stakes in FRMI. Leonteq Securities AG purchased a new stake in Fermi during 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 worth about $36,000. Aspect Partners LLC purchased a new stake in shares of Fermi in the fourth quarter worth about $38,000. SBI Securities Co. Ltd. purchased a new stake in shares of Fermi in the fourth quarter worth about $41,000. Finally, Resona Asset Management Co. Ltd. purchased a new stake in shares of Fermi in the first quarter worth about $73,000.

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.