Fermi (NASDAQ:FRMI) Sets New 52-Week Low - Time to Sell?

Key Points

• Fermi (NASDAQ:FRMI) hit a new 52-week low of $6.64 (last $6.66) on heavy volume (~10.5M shares), down from a prior close of $7.46.
• Despite the drop, analysts hold a consensus Buy rating with a $31.44 price target (3 Strong Buy, 8 Buy, 1 Hold, 1 Sell), signaling a large gap between market price and analyst expectations.
• Several major institutions — including Balyasny, M&G, Nuveen, Millennium and Nexpoint — initiated sizable Q4 positions, indicating significant hedge-fund accumulation ahead of the recent decline.

Fermi Inc. (NASDAQ:FRMI - Get Free Report) shares hit a new 52-week low on Thursday . The stock traded as low as $6.64 and last traded at $6.66, with a volume of 10468341 shares. The stock had previously closed at $7.46.

Wall Street Analysts Forecast Growth

FRMI has been the subject of a number of research reports. Weiss Ratings reiterated a "sell (e+)" rating on shares of Fermi in a research report on Monday. Wall Street Zen upgraded Fermi from a "sell" rating to a "hold" rating in a report on Sunday, March 8th. Texas Capital raised Fermi to a "strong-buy" rating in a research note on Tuesday, January 20th. Citizens Jmp assumed coverage on Fermi in a report on Monday, February 9th. They set a "market outperform" rating and a $30.00 price objective for the company. Finally, Citigroup initiated coverage on Fermi in a research report on Monday, February 9th. They set an "outperform" rating on the stock. Three analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Fermi has an average rating of "Buy" and a consensus target price of $31.44.

Fermi Price Performance

The firm has a market cap of $4.09 billion and a PE ratio of -7.93. The business's fifty day moving average price is $8.94.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Balyasny Asset Management L.P. acquired a new position in shares of Fermi during the 4th quarter worth approximately $16,549,000. M&G PLC acquired a new stake in Fermi during the 4th quarter valued at $14,443,000. Nuveen LLC purchased a new position in Fermi during the fourth quarter worth $11,067,000. Millennium Management LLC acquired a new position in shares of Fermi in the fourth quarter worth $10,871,000. Finally, Nexpoint Asset Management L.P. acquired a new position in shares of Fermi in the fourth quarter worth $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.

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