Fermi (NASDAQ:FRMI) Trading Up 12.8% – Should You Buy?

Shares of Fermi Inc. (NASDAQ:FRMI) rose 12.8% during trading on Wednesday . The stock traded as high as $6.16 and last traded at $6.17. Approximately 11,559,395 shares changed hands during mid-day trading, an increase of 4% from the average daily volume of 11,130,782 shares. The stock had previously closed at $5.47.

Wall Street Analysts Forecast Growth

FRMI has been the subject of several research reports. Cantor Fitzgerald initiated coverage on shares of Fermi in a research report on Thursday, April 9th. They issued an “overweight” rating and a $8.00 price target for the company. Texas Capital upgraded shares of Fermi to a “strong-buy” rating in a research report on Tuesday, January 20th. Citigroup initiated coverage on shares of Fermi in a research report on Monday, February 9th. They set an “outperform” rating for the company. Citizens Jmp initiated coverage on shares of Fermi in a research report on Monday, February 9th. They set a “market outperform” rating and a $30.00 price objective for the company. Finally, Wall Street Zen downgraded shares of Fermi from a “hold” rating to a “sell” rating in a research report on Sunday. Three investment analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $26.67.

Fermi Trading Up 9.7%

The firm has a market capitalization of $3.83 billion and a price-to-earnings ratio of -7.14. The stock’s 50 day moving average price is $6.39 and its two-hundred day moving average price is $10.89.

Insider Activity at Fermi

In other news, COO Blanes Jacobo Ortiz sold 427,363 shares of the company’s stock in a transaction on Thursday, April 9th. The shares were sold at an average price of $4.58, for a total transaction of $1,957,322.54. Following the transaction, the chief operating officer directly owned 5,469,092 shares of the company’s stock, valued at $25,048,441.36. This represents a 7.25% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Charles Lynn Hamilton sold 398,140 shares of the company’s stock in a transaction on Thursday, April 9th. The stock was sold at an average price of $4.58, for a total transaction of $1,823,481.20. Following the transaction, the insider directly owned 5,525,910 shares in the company, valued at approximately $25,308,667.80. This trade represents a 6.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 13,435,207 shares of company stock valued at $67,803,539.

Hedge Funds Weigh In On Fermi

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Balyasny Asset Management L.P. acquired a new position in shares of Fermi during the 4th quarter worth $16,549,000. M&G PLC acquired a new position in shares of Fermi during the 4th quarter worth $14,443,000. Nuveen LLC acquired a new stake in Fermi in the 4th quarter valued at about $11,067,000. Millennium Management LLC acquired a new stake in Fermi in the 4th quarter valued at about $10,871,000. Finally, Nexpoint Asset Management L.P. acquired a new stake in Fermi in the 4th quarter valued at about $10,412,000.

About Fermi

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.