Fervo Energy (NASDAQ:FRVO) Stock Falls 8.7% – Should You Sell?

Fervo Energy Company (NASDAQ:FRVO) dropped 8.7% during trading on Wednesday. The stock traded as low as $10.86 and last traded at $10.94. Approximately 7,426,868 shares were traded during trading, an increase of 48% from the average daily volume of 5,010,972 shares. The stock had previously closed at $11.98.

Analysts Set New Price Targets

Several research firms have recently weighed in on FRVO. Morgan Stanley upgraded shares of Fervo Energy to an “overweight” rating in a research note on Tuesday, September 1st. Wall Street Zen raised Fervo Energy from a “strong sell” rating to a “sell” rating in a research note on Monday, July 20th. Royal Bank Of Canada restated an “outperform” rating and set a $46.00 price objective on shares of Fervo Energy in a report on Tuesday, June 23rd. Northland Securities started coverage on Fervo Energy in a report on Thursday, September 10th. They issued an “outperform” rating and a $27.00 target price on the stock. Finally, Robert W. Baird dropped their price objective on shares of Fervo Energy from $50.00 to $35.00 and set an “outperform” rating on the stock in a research note on Thursday, August 13th. Two analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Fervo Energy has an average rating of “Moderate Buy” and a consensus target price of $40.87.

Fervo Energy Price Performance

The stock has a market cap of $2.92 billion and a price-to-earnings ratio of -2.41. The business has a fifty day moving average price of $16.41. The company has a quick ratio of 8.62, a current ratio of 8.62 and a debt-to-equity ratio of 0.08.

Fervo Energy (NASDAQ:FRVO) last posted its quarterly earnings data on Wednesday, August 12th. The company reported ($0.38) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.29). The business had revenue of $0.11 million for the quarter. As a group, equities research analysts predict that Fervo Energy Company will post -0.54 EPS for the current fiscal year.

Institutional Investors Weigh In On Fervo Energy

Several large investors have recently made changes to their positions in FRVO. Sax Wealth Advisors LLC purchased a new position in shares of Fervo Energy in the 3rd quarter worth about $154,000. Corient Private Wealth LP purchased a new stake in Fervo Energy during the second quarter worth about $229,000. Engineers Gate Manager LP bought a new stake in Fervo Energy in the second quarter worth about $272,000. AXQ Capital LP bought a new stake in Fervo Energy in the second quarter worth about $499,000. Finally, Viking Fund Management LLC bought a new stake in Fervo Energy in the third quarter worth about $815,000.

Fervo Energy Company Profile

Fervo Energy is a geothermal energy company focused on developing enhanced geothermal systems (EGS), which use horizontal drilling and hydraulic stimulation techniques to access heat in underground rock and produce electricity. Its approach is designed to expand geothermal generation beyond locations with naturally occurring conventional geothermal resources.

The company develops geothermal projects, including Project Red in northern Nevada and the larger Cape Station project in southwestern Utah.