Faruqi & Faruqi Encourages Fermi Investors to Discuss Legal Options

Written by Emily J. Thompson, Senior Investment Analyst

Source: PRnewswire

Updated: 2d ago

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Should l Buy FRMI?

Source: PRnewswire

Legal Claim Investigation: Faruq & Faruq LLP is investigating potential claims against Fermi Inc., particularly for investors who purchased securities during the October 2025 IPO, aiming to protect investor rights and seek legal remedies.
Investor Contact Information: Securities Litigation Partner Josh Wilson encourages investors who suffered losses between October and December 2025 to contact him directly, providing phone numbers to discuss legal options, demonstrating support and concern for investors.
Class Action Deadline: Investors should note that the deadline to seek the role of lead plaintiff in the federal securities class action against Fermi is March 6, 2026, emphasizing the importance of timely action to secure their legal rights.
Market Reaction Impact: The securities litigation against Fermi may negatively impact its stock price, prompting investors to closely monitor legal developments to make informed investment decisions.

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Analyst Views on FRMI

Wall Street analysts forecast FRMI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FRMI is 30.25 USD with a low forecast of 20.00 USD and a high forecast of 37.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

8 Analyst Rating

8 Buy

0 Hold

0 Sell

Strong Buy

Current: 7.200

Low

20.00

Averages

30.25

High

37.00

Current: 7.200

Low

20.00

Averages

30.25

High

37.00

Texas Capital

NULL -> Buy

initiated

$23

2026-01-20

Reason

Texas Capital

Price Target

$23

AI Analysis

2026-01-20

initiated

NULL -> Buy

Reason

Texas Capital initiated coverage of Fermi with a Buy rating and $23 price target. Fermi is currently developing the world's largest hybrid energy and data center development campus, notes the analyst, who sees the company being "uniquely positioned to capitalize" on the primary constraint facing hyperscalers as they build out to support their AI compute needs, namely bypassing long interconnection queues and achieving reliability. The stock is pricing approximately 10% of the company's projected power capacity at its current valuation, offering "material potential upside to what appears to be a low-risk play on AI infrastructure," the analyst added.

Stifel

Stephen Gengaro

Buy

maintain

2025-12-12

Reason

Stifel

Stephen Gengaro

Price Target

2025-12-12

maintain

Buy

Reason

Stifel analyst Stephen Gengaro notes that in conversation with Fermi management, the company indicated that it is still in negotiations with its first key tenant. The tenant attempted to change the terms of the LOI at the last minute, and Fermi opted to call their bluff. This has delayed an agreement, but management is back in talks with the initial potential client and appears confident it will reach a deal with this client or potentially another customer from their pipeline, Stifel adds. The company noted it is now working to get its potential 2027 clients online in 2026. The LOI for the first tenant is still active, and the firm believes the company has satisfied conditions for its lease from Texas Tech University, and that lease is not at risk of being canceled. Stifel has a Buy rating on Fermi.

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About FRMI

Fermi Inc. is an advanced energy and hyperscale development company purpose-built for the artificial intelligence (AI) era. The Company is engaged in the development of electric grids that deliver highly redundant power at a gigawatt scale, required to create artificial intelligence. Situated on a 5,236-acre site in Amarillo, Texas, Project Matador is secured by the Company pursuant to the Lease on land owned by the Texas Tech University System. Project Matador is designed to accommodate up to 6.0 gigawatt (GW) of nuclear capacity via 4.0 GW of bifurcated Westinghouse Reactors and 2.0 GW of small nuclear reactor (SMRs). Its HyperRedundant site is strategically located adjacent to natural gas fields in the United States that is within a high-radiance solar corridor, well-positioned for advanced nuclear development and supportive of multiple energy pathways including near-term natural gas power development.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Fermi Inc. Faces Class Action Lawsuit

11 hours agoGlobenewswire

Lawsuit Background: Bragar Eagel & Squire has filed a class action lawsuit against Fermi in the Southern District of New York on behalf of all investors who purchased Fermi stock during the October 2025 IPO or between October 1 and December 11, 2025.
Allegations Details: The lawsuit alleges that Fermi and its executives made materially false and misleading statements regarding the company's business operations and prospects, particularly overstating tenant demand and funding commitments for the Project Matador campus.
Investor Rights: Investors must apply by March 6, 2026, to be appointed as lead plaintiff in the lawsuit, highlighting the potential impact of the case on investor rights and claims.
Law Firm Overview: Bragar Eagel & Squire is a nationally recognized law firm specializing in securities and commercial litigation, offering no-cost legal consultations to help investors understand their rights and potential claims.

Fermi Inc. Faces Class Action Lawsuit Over IPO Misstatements

23 hours agoGlobenewswire

Class Action Initiated: Fermi Inc. is facing a class action lawsuit due to alleged misstatements during its October 2025 IPO, with investors having until March 6, 2026, to apply as lead plaintiffs, highlighting significant risks regarding the company's transparency and compliance.
Stock Price Plunge: Following the December 12, 2025, announcement that the first tenant for Project Matador terminated a $150 million construction agreement, Fermi's stock price fell nearly 34%, dropping from $21 to $8.59, indicating severe market concerns about the company's financial health.
Poor IPO Performance: Fermi sold 37.375 million shares at $21 each during its IPO, but the stock has since declined by 59%, which not only undermines investor confidence but may also hinder future financing efforts, limiting the company's growth potential.
Severe Legal Consequences: The lawsuit alleges violations of the Securities Act of 1933 and the Securities Exchange Act of 1934 by Fermi and its executives, and an unfavorable ruling could result in substantial damages, further impacting the company's market reputation and operational capabilities.

Fermi Inc. Faces Class Action Lawsuit After Stock Plunge

1 day agoGlobenewswire

Lawsuit Background: Fermi Inc. is facing a class action lawsuit for alleged violations of federal securities laws, involving senior executives and underwriters, highlighting serious investor concerns regarding the company's transparency.
Stock Price Plunge: On December 12, 2025, Fermi's stock price dropped by $5.16, over 33%, from $15.25 to $10.09, following the termination of the construction agreement by the first tenant, directly impacting investor confidence.
Project Misrepresentation: Fermi claimed in its IPO to have secured a 20-year lease with an investment-grade tenant, but the actual demand was overstated, leading to diminished investor confidence in Project Matador and affecting future financing capabilities.
Legal Options: Investors are encouraged to apply to lead the case by March 6, 2026, indicating that legal avenues may provide remedies for affected investors, thereby increasing the legal risks faced by the company.

Fermi Investors Warned of Potential Losses Amid Class Action

1 day agoPRnewswire

Litigation Alert: Hagens Berman law firm is notifying Fermi Inc. investors about an ongoing securities class action against the company and its executives, with a lead plaintiff deadline set for March 6, 2026, indicating significant legal risks for the firm.
False Statement Allegations: The lawsuit alleges that Fermi misrepresented the demand for its flagship project, 'Project Matador,' and the stability of its primary tenant, misleading investors and undermining market confidence in the company's prospects.
Stock Price Plunge: Following the December 12, 2025 announcement that its first tenant terminated a $150 million construction agreement, Fermi's stock price fell nearly 34%, reflecting heightened concerns about the company's financial health and operational viability.
Investor Action Call: Hagens Berman encourages investors who purchased Fermi shares during or after the October 2025 IPO to contact them to participate in potential claims, highlighting the legal challenges that may impact the company's future operations.