Fermi (NASDAQ:FRMI) Shares Up 7.9% – Should You Buy?

Fermi Inc. (NASDAQ:FRMI)’s share price shot up 7.9% during trading on Tuesday . The stock traded as high as $5.56 and last traded at $5.5230. 4,713,993 shares changed hands during trading, a decline of 68% from the average daily volume of 14,886,275 shares. The stock had previously closed at $5.12.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on FRMI shares. Mizuho cut their price objective on Fermi from $27.00 to $11.00 and set an “outperform” rating for the company in a report on Tuesday, July 28th. Evercore cut shares of Fermi from an “outperform” rating to an “in-line” rating and set a $11.00 target price for the company. in a research report on Friday, May 15th. Stifel Nicolaus dropped their price objective on shares of Fermi from $29.00 to $17.00 and set a “buy” rating for the company in a report on Tuesday, June 23rd. Finally, Weiss Ratings downgraded Fermi from a “sell (d-)” rating to a “sell (e+)” rating in a report on Friday, August 14th. Two analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Fermi presently has a consensus rating of “Moderate Buy” and an average target price of $20.67.

Fermi Price Performance

The firm has a market capitalization of $3.70 billion and a P/E ratio of -4.90. The company’s 50 day moving average price is $6.36 and its 200 day moving average price is $6.76.

Fermi (NASDAQ:FRMI) last posted its quarterly earnings data on Thursday, August 13th. The company reported ($0.04) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.06) by $0.02. During the same period last year, the company posted ($0.02) EPS. On average, research analysts anticipate that Fermi Inc. will post -0.33 EPS for the current fiscal year.

Insider Buying and Selling at Fermi

In other news, Director James Perry sold 863,637 shares of the company’s stock in a transaction on Tuesday, June 30th. The stock was sold at an average price of $7.31, for a total transaction of $6,313,186.47. Following the transaction, the director owned 15,827,807 shares of the company’s stock, valued at $115,701,269.17. This represents a 5.17% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. SBI Securities Co. Ltd. acquired a new stake in shares of Fermi during the 4th quarter worth approximately $41,000. Empire Life Investments Inc. acquired a new position in Fermi in the fourth quarter valued at approximately $5,611,000. ANTIPODES PARTNERS Ltd bought a new position in Fermi in the fourth quarter valued at approximately $465,000. HighTower Advisors LLC bought a new position in Fermi in the fourth quarter valued at approximately $95,000. Finally, PNC Financial Services Group Inc. acquired a new stake in Fermi during the 4th quarter worth $36,000.

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.