Fermi (NASDAQ:FRMI) Rating Lowered to "Sell" at Wall Street Zen

Key Points

• Wall Street Zen downgraded Fermi from a "hold" to a "sell" in a note to investors on Saturday.
• Operational and financing progress: Fermi filed a second Clean Air Permit for ~5 GW at Project Matador and its subsidiary secured a $165 million senior secured equipment financing to accelerate delivery of six SGT‑800 turbines.
• Analyst consensus vs. market price: Brokers' ratings average to a "Buy" with an average price target of $31.44, yet the stock is trading near a one‑year low (~$6.18) and carries a negative PE, underscoring valuation and execution concerns.

Fermi (NASDAQ:FRMI - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a note issued to investors on Saturday.

Several other research firms also recently issued reports on FRMI. Citigroup started coverage on shares of Fermi in a report on Monday, February 9th. They set an "outperform" rating on the stock. Texas Capital upgraded shares of Fermi to a "strong-buy" rating in a research note on Tuesday, January 20th. Weiss Ratings reissued a "sell (e+)" rating on shares of Fermi in a research report on Monday. Finally, Citizens Jmp assumed coverage on Fermi in a research note on Monday, February 9th. They set a "market outperform" rating and a $30.00 price target on the stock. Three analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, Fermi has an average rating of "Buy" and an average price target of $31.44.

Fermi Trading Up 1.6%

NASDAQ:FRMI opened at $6.18 on Friday. The firm has a market cap of $3.79 billion and a PE ratio of -7.36. Fermi has a one year low of $5.93 and a one year high of $36.99. The firm's fifty day moving average is $8.79.

Hedge Funds Weigh In On Fermi

A number of hedge funds have recently made changes to their positions in the business. Axxcess Wealth Management LLC acquired a new stake in shares of Fermi during the 4th quarter valued at about $604,000. ANTIPODES PARTNERS Ltd acquired a new position in Fermi in the fourth quarter worth about $465,000. Empire Life Investments Inc. acquired a new position in Fermi in the fourth quarter worth about $5,611,000. SBI Securities Co. Ltd. bought a new position in Fermi during the fourth quarter worth about $41,000. Finally, WJ Financial Advisors LLC bought a new position in Fermi during the fourth quarter worth about $167,000.

Fermi News Summary

Here are the key news stories impacting Fermi this week:

• Positive Sentiment: Fermi filed a second Clean Air Permit application with the Texas Commission on Environmental Quality for an additional ~5 GW at Project Matador, part of a campus target of ~17 GW (11 GW of clean gas plus nuclear, solar and batteries) — a clear signal of capacity expansion and regulatory progress. Fermi America™ Files Second Clean Air Permit Application with TCEQ for 5 GW of Additional Power for Its Project Matador Private Grid
• Positive Sentiment: Fermi’s subsidiary secured a $165 million senior secured equipment financing facility to accelerate delivery of six SGT‑800 gas turbines — improves near‑term capex funding and reduces execution risk for planned capacity. Fermi Secures $165 Million Turbine Equipment Financing Facility
• Positive Sentiment: Additional coverage (Yahoo/Investing) on the $165M facility amplifies visibility into execution progress and partner backing for turbine delivery. Fermi America™ Secures $165 Million Equipment Financing Facility from CSG Investments, an Affiliate of Beal Bank USA, to Accelerate Delivery of Six SGT-800 Gas Turbines for ...
• Positive Sentiment: Brokerage coverage is constructive: consensus ratings aggregate to an average “Buy,” which can help demand for shares as institutional interest increases. Fermi Inc. NASDAQ: FRMI Receives Average Rating of "Buy" from Brokerages
• Neutral Sentiment: Analysts and media are flagging upcoming earnings and the company’s positioning in AI power infrastructure; these items matter but will be judged on execution and revenue/EBITDA progress in the report. Fermi America earnings on deck as data center power play tested
• Negative Sentiment: The stock recently hit a new 1‑year low, underscoring continuing investor concern about valuation, longer lead times to revenue and the company’s path to profitability despite recent permits and financings. Fermi NASDAQ: FRMI Sets New 1-Year Low - What's Next?

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.

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