Fermi, Inc. Faces Class Action Over Misrepresentation, Stock Drops 33%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: Globenewswire
- Class Action Alert: The Portnoy Law Firm advises Fermi, Inc. investors of a class action for those who purchased securities between February 26 and August 4, 2025, with a deadline for lead plaintiff motion by March 2, 2026, indicating the urgency of legal action.
- Funding Issues: Fermi claimed in its IPO to have a 20-year lease with an investment-grade tenant to support its flagship Project Matador, but later revealed the tenant terminated the Advance in Aid of Construction Agreement, significantly undermining market confidence in project funding.
- Stock Price Volatility: Following the tenant's termination on December 12, 2025, Fermi's stock plummeted by $5.16, a drop of over 33%, from $15.25 to $10.09, reflecting investor concerns about the company's future prospects.
- Legal Recourse: The Portnoy Law Firm offers complimentary case evaluations, encouraging investors to reach out to pursue claims for losses incurred due to corporate wrongdoing, highlighting the importance of legal support for investors.
Analyst Views on FRMI
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.
