What’s Driving the Surge in Stock for This Trump-Linked Nuclear Power Firm?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 27 2025
0mins
Should l Buy FRMI?
Source: MarketWatch
Stock Price Rally: Fermi Inc., a company planning a large data center in Texas named after Donald Trump, experienced a stock price increase following agreements with South Korean firms during Trump's Asia visit.
Analyst Optimism: All seven Wall Street analysts who initiated coverage on Fermi Inc. were positive about the company's prospects, contributing to the stock's favorable performance.
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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: 8.000
Low
20.00
Averages
30.25
High
37.00
Current: 8.000
Low
20.00
Averages
30.25
High
37.00
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.
- Lawsuit Background: Fermi Inc. is facing a securities class action lawsuit for allegedly misrepresenting the demand for its flagship project, 'Project Matador,' and the stability of its primary tenant, which plaintiffs claim resulted in significant investor losses.
- Concealed Tenant Risks: The lawsuit alleges that Fermi failed to disclose the extent of reliance on a single tenant's funding commitment, which was terminated on December 12, 2025, leading to a nearly 34% drop in stock price in a single day.
- Stock Price Decline: By the time the lawsuit commenced, Fermi's stock had fallen to $8.59 per share, representing a 59% decline from its IPO price of $21, indicating severe market concerns regarding its financial health.
- Investor Action: Hagens Berman is actively reaching out to investors who purchased Fermi shares during the October 2025 IPO or between October 1 and December 11, 2025, urging them to submit applications to be lead plaintiffs by the March 6, 2026 deadline.
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- Class Action Notice: Glancy Prongay Wolke & Rotter LLP reminds investors of Fermi Inc. that the deadline to file a lead plaintiff motion is March 6, 2026, concerning the October 2025 IPO and securities purchased between October 1 and December 11, 2025.
- Poor IPO Performance: Fermi conducted its IPO on October 1, 2025, selling 37.375 million shares at $21.00 each, but on December 12, 2025, the stock plummeted 33.8% to $10.09 after a major tenant terminated a $150 million construction agreement.
- Significant Stock Decline: By the time the lawsuit commenced, Fermi's stock had fallen to $8.59 per share, representing a 59% drop from the IPO price, indicating severe investor concerns about the company's future prospects.
- Allegations of Misrepresentation: The lawsuit alleges that Fermi made materially false or misleading statements in its registration statement, failing to disclose the risks associated with relying on a single tenant's funding for its Project Matador, leading to investor misunderstandings about the company's operations and outlook.
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- Fermi Inc. Lawsuit: The shareholder class action lawsuit against Fermi Inc. alleges that the company failed to disclose significant facts regarding tenant demand for its Project Matador campus between October 1 and December 11, 2025, leading to substantial investor losses, with a deadline of March 6, 2026, to apply as lead plaintiff.
- Ardent Health Case: The class action lawsuit against Ardent Health, Inc. claims that the company did not disclose material facts about the collectability of its accounts receivable from July 18, 2024, to November 12, 2025, and investors must apply by March 9, 2026, if they suffered losses during this period.
- Varonis Systems Lawsuit: The lawsuit against Varonis Systems, Inc. alleges that the company misled investors regarding its ability to convert its customer base and its ARR growth potential from February 4 to October 28, 2025, with a lead plaintiff application deadline of March 9, 2026.
- Law Firm Background: Holzer & Holzer, LLC, rated as a top securities litigation firm by ISS from 2021 to 2025, has been representing shareholders since 2000, recovering hundreds of millions for those affected by corporate misconduct.
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- Class Action Filed: The Schall Law Firm has initiated a class action lawsuit against Fermi Inc., alleging violations of federal securities laws during the company's October 2025 IPO, impacting investor rights.
- False Statements Revealed: The complaint claims that Fermi overstated tenant demand for the Project Matador campus and misled investors regarding its reliance on a single tenant's funding commitment, resulting in investor losses.
- Investor Losses: Investors who purchased Fermi's securities between October 1 and December 11, 2025, suffered damages due to the company's misleading statements, with the law firm urging affected shareholders to contact them by March 6, 2026, to participate in the lawsuit.
- Legal Proceedings Status: The class action has not yet been certified, meaning investors are not represented by an attorney until certification occurs, and those who choose not to act will remain absent class members.
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- Lawsuit Background: Bronstein, Gewirtz & Grossman, LLC has announced a class action lawsuit against Fermi Inc., alleging violations of federal securities laws related to its October 2025 IPO, affecting all investors who purchased Fermi securities during this period.
- False Statements Allegations: The complaint alleges that Fermi made materially false and misleading statements throughout the class period, failing to disclose the overstatement of tenant demand for its Project Matador campus and the reliance on a single tenant's funding commitment.
- Investor Losses: Investors who suffered losses between October 1, 2025, and December 11, 2025, must apply by March 6, 2026, to be appointed as lead plaintiff to participate in any potential recovery.
- Legal Fee Arrangement: Bronstein, Gewirtz & Grossman, LLC will represent investors on a contingency fee basis, meaning they will only charge fees if they successfully recover funds, providing a no-risk legal support option for investors.
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- 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.
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