Stock Traders Buy Large Volume of Call Options on Fermi (NASDAQ:FRMI)

Fermi Inc. (NASDAQ:FRMI) was the target of unusually large options trading on Thursday. Stock traders bought 77,536 call options on the company. This represents an increase of 133% compared to the typical volume of 33,313 call options.

Fermi Trading Up 22.8%

Shares of NASDAQ FRMI opened at $7.37 on Friday. Fermi has a 12-month low of $4.47 and a 12-month high of $36.99. The company has a market cap of $4.70 billion and a P/E ratio of -8.77. The stock has a fifty day moving average price of $6.27 and a 200 day moving average price of $10.68.

Fermi (NASDAQ:FRMI) last announced its quarterly earnings results on Thursday, May 14th. The company reported ($0.30) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by ($0.25). On average, sell-side analysts forecast that Fermi will post 0.4 EPS for the current fiscal year.

Trending Headlines about Fermi

Here are the key news stories impacting Fermi this week:

• Positive Sentiment: Fermi’s Q1 2026 update showed meaningful project progress, including more than 2 GW of power generation secured, roughly 11 GW of permitted capacity advancing at Project Matador, and about $785 million in new equipment financing, which supported bullish sentiment. Article Title
• Positive Sentiment: The board amended the bylaws to protect and empower shareholders unaffiliated with the company’s former CEO, signaling a governance overhaul that investors may view as shareholder-friendly. Article Title
• Positive Sentiment: Unusually heavy call-option buying suggested traders were positioning for further upside, potentially amplifying the stock’s move through short-covering and momentum buying.

Insider Transactions 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 stock was sold at an average price of $4.58, for a total transaction of $1,957,322.54. Following the completion of the sale, the chief operating officer directly owned 5,469,092 shares in the company, valued at $25,048,441.36. This represents a 7.25% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, CFO Miles E. Everson sold 427,004 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 value of $1,955,678.32. Following the sale, the chief financial officer owned 9,969,791 shares of the company’s stock, valued at approximately $45,661,642.78. The trade was a 4.11% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have 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 added to or reduced their stakes in the company. Renaissance Technologies LLC boosted its position in Fermi by 311.3% in the 1st quarter. Renaissance Technologies LLC now owns 1,403,700 shares of the company’s stock valued at $8,198,000 after buying an additional 1,062,400 shares during the last quarter. Arrowstreet Capital Limited Partnership purchased a new position in Fermi in the 1st quarter valued at about $527,000. Cetera Investment Advisers boosted its position in Fermi by 3,262.3% in the 1st quarter. Cetera Investment Advisers now owns 1,201,098 shares of the company’s stock valued at $7,014,000 after buying an additional 1,165,376 shares during the last quarter. Bank of New York Mellon Corp boosted its position in Fermi by 186.8% in the 1st quarter. Bank of New York Mellon Corp now owns 98,819 shares of the company’s stock valued at $577,000 after buying an additional 64,369 shares during the last quarter. Finally, Sanctuary Advisors LLC purchased a new position in Fermi in the 1st quarter valued at about $154,000.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on FRMI shares. Weiss Ratings restated a “sell (e+)” rating on shares of Fermi in a report on Monday, March 23rd. Citigroup began coverage on Fermi in a report on Monday, February 9th. They issued an “outperform” rating for the company. Wall Street Zen downgraded Fermi from a “hold” rating to a “sell” rating in a report on Sunday, May 10th. UBS Group downgraded Fermi from a “buy” rating to a “neutral” rating and set a $6.00 price target for the company. in a report on Tuesday, May 5th. Finally, Texas Capital upgraded Fermi to a “strong-buy” rating in a report on Tuesday, January 20th. Three equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $26.67.

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.