Shares of Fermi Inc. (NASDAQ:FRMI) are down 32.8%, last seen trading at $10.25. The tumble follows news that, despite a preliminary late 2025 agreement with a potential Project Matador AI data center tenant -- which included up to $150 million in possible construction support -- no funds were drawn, with the tenant ultimately terminating the deal yesterday.
The stock is now trading at its lowest level on record. FRMI has shed 73.1% this year, a stunning reversal from its Oct. 2 record high of $36.99. Shares are today succumbing to pressure from the 20-day moving average, and have shed over 40% so far this month.
Despite this underperformance, most analysts lean bullish toward Fermi stock, with eight of nine in coverage sporting a "strong buy" rating. Plus, the 12-month consensus target price of $33.17 is a 221.8% premium to current levels. This leaves ample room for downgrades and/or price-target hikes, which could pressure the shares even lower.
Options bulls are piling in today, with 27,000 calls exchanged so far today, which is 12 times the intraday average volume. The most popular contract is the weekly January 16, 2026 15-strike call, with new positions being bought to open at the December 10 call.
