Insider Selling: Fermi (NASDAQ:FRMI) Major Shareholder Sells 5,000,000 Shares of Stock

Key Points

• Major shareholder Toby Neugebauer sold 5 million Fermi shares on Nov. 5 at an average $1.52 each, for $7.6 million. He retained about 84.8 million shares after the sale.
• Fermi shares fell 15.9% during Thursday’s trading to $1.53, close to their 52-week low of $1.44.
• Analyst views are mixed: MarketBeat reports a “Moderate Buy” consensus and an average $16.86 price target, though some firms have recently cut their targets.

Fermi Inc. (NASDAQ:FRMI - Get Free Report) major shareholder Toby Neugebauer sold 5,000,000 shares of the stock in a transaction dated Thursday, November 5th. The shares were sold at an average price of $1.52, for a total transaction of $7,600,000.00. Following the completion of the transaction, the insider directly owned 84,813,010 shares of the company's stock, valued at approximately $128,915,775.20. This trade represents a 5.57% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Large shareholders that own more than 10% of a company's shares are required to disclose their sales and purchases with the SEC.

Fermi Stock Down 15.9%

FRMI traded down $0.29 during trading on Thursday, reaching $1.53. 41,416,841 shares of the stock were exchanged, compared to its average volume of 25,128,548. Fermi Inc. has a 1 year low of $1.44 and a 1 year high of $27.07. The business's 50 day moving average price is $3.95 and its two-hundred day moving average price is $6.35.

Fermi (NASDAQ:FRMI - Get Free Report) last announced its quarterly earnings results on Thursday, August 13th. The company reported ($0.04) earnings per share for the quarter, beating analysts' consensus estimates of ($0.06) by $0.02. During the same period in the previous year, the firm posted ($0.02) earnings per share. Analysts anticipate that Fermi Inc. will post -0.33 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on the stock. Weiss Ratings cut shares of Fermi from a "sell (d-)" rating to a "sell (e+)" rating in a research report on Friday, August 14th. Cantor Fitzgerald lowered their price target on shares of Fermi from $12.00 to $8.00 and set an "overweight" rating on the stock in a research report on Friday, October 16th. Finally, Mizuho dropped their price objective on shares of Fermi from $27.00 to $11.00 and set an "outperform" rating for the company in a research note on Tuesday, July 28th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $16.86.

Institutional Trading of Fermi

A number of large investors have recently made changes to their positions in FRMI. Integrated Wealth Concepts LLC acquired a new position in Fermi in the 2nd quarter valued at about $41,000. SteelPeak Wealth LLC acquired a new stake in shares of Fermi during the 3rd quarter worth about $42,000. Farther Finance Advisors LLC boosted its stake in shares of Fermi by 139.1% during the 3rd quarter. Farther Finance Advisors LLC now owns 10,456 shares of the company's stock worth $44,000 after purchasing an additional 6,083 shares during the last quarter. NewEdge Advisors LLC acquired a new stake in shares of Fermi during the 1st quarter worth about $54,000. Finally, Chicago Partners Investment Group LLC purchased a new stake in shares of Fermi during the third quarter worth about $64,000.

Fermi News Roundup

Here are the key news stories impacting Fermi this week:

• Neutral Sentiment: Reports clarified that an emergency alert involving the Fermi II nuclear plant in Newport was sent accidentally during a drill; officials said there was no emergency. This concerns the nuclear facility, not Fermi Inc., so it appears to have little direct bearing on FRMI. Read More. · Read More.
• Neutral Sentiment: Fermi held its annual shareholder meeting and board vote on October 30. The available report does not provide details suggesting a material change in the company’s outlook. Read More.
• Negative Sentiment: Major shareholder Toby Neugebauer reported selling 5 million shares on Nov. 5, 94,000 shares on Nov. 4, and 2.56 million shares on Nov. 3—about 7.66 million shares in total. Such substantial insider selling may weigh on sentiment, although the filings do not establish the reason for the sales. Read More.
• Negative Sentiment: Coverage says a data-center lease deadline passed, raising investor questions about the lease and its implications for Fermi’s cash-flow outlook. One report linked the missed deadline to a sharp share decline; the supplied articles do not specify definitive lease terms or a resolution. Read More. · Read More.

About Fermi

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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