Fermi (NASDAQ:FRMI) Shares Gap Up - Time to Buy?

Key Points

• Fermi shares jumped 19.5%, opening at $3.64 after a $3.25 prior close and later trading near $3.87 on volume of more than 24 million shares.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $20.67, despite recent target reductions from Mizuho and Stifel.
• Fermi reported a quarterly loss of $0.04 per share, beating estimates of a $0.06 loss. The company is developing large-scale power-generation and data-center infrastructure centered on a planned Texas nuclear campus.

Fermi Inc. (NASDAQ:FRMI - Get Free Report) shares gapped up before the market opened on Tuesday. The stock had previously closed at $3.25, but opened at $3.64. Fermi shares last traded at $3.8650, with a volume of 24,394,423 shares changing hands.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on FRMI. Weiss Ratings lowered Fermi from a "sell (d-)" rating to a "sell (e+)" rating in a research report on Friday, August 14th. Mizuho reduced their price target on Fermi from $27.00 to $11.00 and set an "outperform" rating on the stock in a report on Tuesday, July 28th. Finally, Stifel Nicolaus dropped their price objective on Fermi from $29.00 to $17.00 and set a "buy" rating for the company in a report on Tuesday, June 23rd. Two investment analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $20.67.

Fermi Stock Up 19.5%

The company has a market capitalization of $2.49 billion and a P/E ratio of -3.28. The company has a 50-day moving average of $5.19 and a two-hundred day moving average of $6.03.

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

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the business. NewEdge Advisors LLC increased its stake in shares of Fermi by 22.5% during the second quarter. NewEdge Advisors LLC now owns 11,431 shares of the company's stock valued at $105,000 after purchasing an additional 2,101 shares in the last quarter. Integrated Wealth Concepts LLC purchased a new position in shares of Fermi during the second quarter valued at approximately $41,000. Farther Finance Advisors LLC boosted its position in shares of Fermi by 139.1% in 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 in the last quarter. Financial Management Professionals Inc. bought a new stake in shares of Fermi in the 2nd quarter worth approximately $104,000. Finally, Byrne Asset Management LLC purchased a new stake in shares of Fermi in the 2nd quarter worth approximately $109,000.

Fermi Company Profile

Fermi Inc is an energy and infrastructure company focused on developing large-scale power generation and data center facilities. The company is pursuing an integrated model designed to provide reliable electricity for high-demand computing applications, including artificial intelligence and cloud infrastructure.

Its development activities center on the planned Fermi Nuclear Campus in the Texas Panhandle. The project is expected to combine nuclear power with other generation and energy technologies, potentially including natural gas, renewable energy and battery storage, alongside data center infrastructure.

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