Fermi (NASDAQ:FRMI) Trading Down 8.6% – Here’s What Happened

Fermi Inc. (NASDAQ:FRMI)’s stock price dropped 8.6% during trading on Tuesday . The stock traded as low as $9.23 and last traded at $9.40. Approximately 2,610,596 shares were traded during trading, a decline of 61% from the average daily volume of 6,725,121 shares. The stock had previously closed at $10.29.

Fermi News Summary

Here are the key news stories impacting Fermi this week:

• Neutral Sentiment: Short-interest report is unclear — a February update claims a “significant increase” in short interest but the published numbers show zeros/NaN, so there’s no reliable short-interest signal to explain the move.
• Neutral Sentiment: Fermilab settlement reported: a $40M construction-fall settlement at Fermilab was published; this concerns Fermilab and not Fermi Inc., so any direct impact on FRMI fundamentals appears limited. Injured Ironworker Settles Construction Fall Case at Fermilab for $40M
• Neutral Sentiment: Comparative coverage: a market comparison piece mentions FRMI alongside Adamas Trust; background reading but not a primary catalyst. Adamas Trust (NASDAQ:ADAM) and Fermi (NASDAQ:FRMI) Critical Comparison
• Negative Sentiment: Hagens Berman update: the firm is scrutinizing and seeking lead-plaintiff status in a securities class action alleging Fermi misrepresented demand for Project Matador and the stability of a primary anchor tenant (references an alleged ~$150M anchor-tenant exit). This alleges material misstatements about the company’s core project and is a direct negative legal overhang. FRMI ALERT: Hagens Berman Scrutinizing Suit Against Fermi (FRMI) Over Alleged $150M Anchor Tenant Exit
• Negative Sentiment: Multiple plaintiff firms filing/soliciting: several national securities law firms (Glancy Prongay Wolke & Rotter; Berger Montague; Portnoy; Bernstein Liebhard; Bleichmar Fonti & Auld; Schall; DJS; Faruqi & Faruqi, among others) have announced class actions or notice deadlines tied to the IPO and October–December 2025 trading windows. Consolidated litigation, potential discovery and damages exposure increase legal risk and investor uncertainty; lead-plaintiff deadlines are in early March. Deadline Alert: Fermi Inc. (FRMI) Shareholders Urged To Contact Glancy Prongay Wolke & Rotter LLP

Analysts Set New Price Targets

Several research analysts have recently issued reports on the stock. Citigroup began coverage on shares of Fermi in a report on Monday, February 9th. They set an “outperform” rating on the stock. Cantor Fitzgerald reiterated an “overweight” rating on shares of Fermi in a research report on Wednesday, November 12th. Texas Capital raised Fermi to a “strong-buy” rating in a report on Tuesday, January 20th. UBS Group assumed coverage on Fermi in a research report on Monday, October 27th. They issued a “buy” rating and a $30.00 target price for the company. Finally, Evercore set a $37.00 price target on shares of Fermi and gave the company an “outperform” rating in a report on Monday, October 27th. Three research analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Buy” and an average price target of $31.44.

Fermi Stock Performance

The company has a market cap of $5.90 billion and a price-to-earnings ratio of -11.44. The firm has a 50-day moving average of $9.38.

Institutional Investors Weigh In On Fermi

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Leonteq Securities AG acquired a new position in Fermi in the fourth quarter worth $30,000. PNC Financial Services Group Inc. acquired a new position in Fermi during the 4th quarter worth about $36,000. Aspect Partners LLC bought a new stake in Fermi during the 4th quarter worth about $38,000. SBI Securities Co. Ltd. acquired a new stake in Fermi in the 4th quarter valued at about $41,000. Finally, MML Investors Services LLC bought a new position in shares of Fermi in the fourth quarter worth about $81,000.

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.