Fermi (NASDAQ:FRMI) Major Shareholder Toby Neugebauer Sells 420,749 Shares of Company Stock

Key Points

• Major shareholder Toby Neugebauer sold 420,749 Fermi shares at an average price of $3.04, generating approximately $1.28 million. He retained 91.19 million shares, with ownership declining by 0.46%.
• Fermi shares fell to $2.65, near their 52-week low of $2.59, and remain well below their 50-day and 200-day moving averages. The company reported a quarterly loss of $0.04 per share, though it beat analyst expectations.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus and an average price target of $20.67, despite recent target cuts. Institutional investors including BlackRock and Alyeska Investment Group established or increased positions during the second quarter.

Fermi Inc. (NASDAQ:FRMI - Get Free Report) major shareholder Toby Neugebauer sold 420,749 shares of the stock in a transaction dated Tuesday, October 20th. The shares were sold at an average price of $3.04, for a total transaction of $1,279,076.96. Following the completion of the transaction, the insider directly owned 91,188,910 shares in the company, valued at approximately $277,214,286.40. This represents a 0.46% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Major shareholders that own at least 10% of a company's stock are required to disclose their transactions with the SEC.

Fermi Stock Performance

Shares of NASDAQ FRMI traded down $0.21 during trading hours on Thursday, reaching $2.65. 19,597,985 shares of the stock were exchanged, compared to its average volume of 15,878,281. The stock's fifty day simple moving average is $4.72 and its 200 day simple moving average is $5.90. The firm has a market capitalization of $1.70 billion and a price-to-earnings ratio of -2.25. Fermi Inc. has a 52 week low of $2.59 and a 52 week high of $30.90.

Fermi (NASDAQ:FRMI - Get Free Report) last posted its quarterly earnings data on Thursday, August 13th. The company reported ($0.04) earnings per share for the quarter, topping the consensus estimate of ($0.06) by $0.02. During the same period in the prior year, the firm posted ($0.02) EPS. Research analysts predict that Fermi Inc. will post -0.33 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

FRMI has been the topic of several recent research reports. Cantor Fitzgerald lowered their target price on shares of Fermi from $12.00 to $8.00 and set an "overweight" rating on the stock in a report on Friday, October 16th. Mizuho dropped their price target on shares of Fermi from $27.00 to $11.00 and set an "outperform" rating for the company in a research report on Tuesday, July 28th. Finally, Weiss Ratings cut Fermi from a "sell (d-)" rating to a "sell (e+)" rating in a research note on Friday, August 14th. Two analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $20.67.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. BlackRock Inc. acquired a new stake in shares of Fermi in the 2nd quarter valued at $38,499,000. Value Aligned Research Advisors LLC acquired a new position in shares of Fermi during the 2nd quarter worth $12,531,000. Philadelphia Financial Management of San Francisco LLC bought a new stake in shares of Fermi during the 2nd quarter worth $3,893,000. Alyeska Investment Group L.P. lifted its position in shares of Fermi by 82.4% during the 2nd quarter. Alyeska Investment Group L.P. now owns 2,886,836 shares of the company's stock worth $26,443,000 after buying an additional 1,303,979 shares during the last quarter. Finally, Sequoia Financial Advisors LLC acquired a new stake in Fermi in the second quarter valued at about $1,845,000.

Fermi Company Profile

Fermi, Inc NASDAQ: FRMI is an energy and infrastructure company focused on developing large-scale power and data center facilities for artificial intelligence and other high-performance computing applications. Its business model centers on integrating electricity generation, energy storage and data center infrastructure within a single campus.

The company's principal development is Project Matador, a planned energy and data center campus in the Texas Panhandle. The project is designed to use a mix of power sources, including nuclear energy, natural gas, solar generation and battery storage, with the goal of providing reliable electricity for data center customers.

Fermi's activities are currently concentrated in the United States, particularly Texas.

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