Fervo Energy (NASDAQ:FRVO) Sees Unusually-High Trading Volume on Strong Earnings

Fervo Energy Company (NASDAQ:FRVO) saw an uptick in trading volume on Monday following a better than expected earnings announcement. Approximately 11,219,108 shares changed hands during trading, an increase of 99% from the average daily volume of 5,626,625 shares. The stock last traded at $11.18 and had previously closed at $9.02.

The company reported ($0.07) earnings per share for the quarter, beating the consensus estimate of ($0.10) by $0.03. The company had revenue of $0.12 million for the quarter.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on the company. Weiss Ratings assumed coverage on Fervo Energy in a report on Tuesday, August 18th. They set a “sell (d)” rating on the stock. Bank of America lowered their target price on shares of Fervo Energy from $36.00 to $30.00 and set a “buy” rating on the stock in a research note on Friday, September 25th. Johnson Rice began coverage on shares of Fervo Energy in a report on Wednesday, September 23rd. They set a “buy” rating and a $35.00 price target on the stock. Wolfe Research upgraded shares of Fervo Energy from a “peer perform” rating to an “outperform” rating and set a $29.00 price target for the company in a research note on Friday, September 25th. Finally, Jefferies Financial Group upgraded shares of Fervo Energy from a “hold” rating to a “buy” rating and lowered their price objective for the company from $41.00 to $34.00 in a research report on Monday, July 20th. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $37.24.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in FRVO. Wellington Management Group LLP purchased a new stake in shares of Fervo Energy in the 2nd quarter worth $129,600,000. Value Aligned Research Advisors LLC bought a new position in Fervo Energy in the 2nd quarter worth $63,155,000. Robeco Schweiz AG lifted its position in Fervo Energy by 66.7% during the third quarter. Robeco Schweiz AG now owns 3,282,928 shares of the company’s stock valued at $44,615,000 after purchasing an additional 1,313,704 shares in the last quarter. Squarepoint Ops LLC purchased a new position in Fervo Energy during the second quarter valued at $12,423,000. Finally, State Street Corp purchased a new stake in Fervo Energy in the second quarter worth about $10,028,000.

Fervo Energy Price Performance

The stock has a 50-day moving average price of $13.12. The company has a current ratio of 8.62, a quick ratio of 8.62 and a debt-to-equity ratio of 0.08. The company has a market cap of $3.30 billion and a price-to-earnings ratio of -2.73.

About Fervo Energy

Fervo Energy is a geothermal energy company that develops projects to produce electricity and provide energy storage. It applies drilling and subsurface technologies, including horizontal wells and fiber-optic sensing, to access geothermal resources and make them available in more locations.

Founded in 2017 and headquartered in Houston, Texas, Fervo has focused on projects in the western United States. Its developments include Project Red in Nevada and Cape Station in Utah, which is planned as a large-scale geothermal power project.

Fervo was co-founded by Tim Latimer, its chief executive officer, and Jack Norbeck.