New York, January 7, 2026, 13:24 (EST) — Regular session
- Fermi shares fell about 11% in afternoon trade, extending sharp swings since December
- Plaintiff firms circulated notices of a securities class action tied to the IPO and Project Matador disclosures
- Investors are watching an Evercore conference appearance on Jan. 8 for any update on tenants and funding
Shares of Fermi Inc (FRMI.O) slid on Wednesday, last down $1.01, or about 10.6%, at $8.50. The stock hit an intraday low of $8.37 and had traded about 5.6 million shares.
The move came as plaintiffs’ firms pushed fresh notices around a proposed securities class action lawsuit, reopening questions about how Fermi pitched demand and funding for its Project Matador campus in Texas. Glancy Prongay & Murray said the case targets investors who bought stock in or traceable to the October IPO, priced at $21 a share, or bought securities during the alleged class period. 1
The complaint was filed on Jan. 5 and runs through Dec. 11, according to Hagens Berman, which posted the filing on its website. It ties the claims to Fermi’s disclosure that its first prospective tenant terminated an “advance in aid of construction” agreement — a funding pact that would have brought up to $150 million to help pay for construction. 2
Fermi shares plunged about 34% on Dec. 12 after the company said the tenant had ended the funding deal for Project Matador. Brian Jacobsen, chief economist at Annex Wealth Management, said at the time that “key person and key client risk” sat at the center of the story. 3
Fermi bills itself as an advanced-energy and hyperscale developer building private grids to power artificial intelligence data centers. Project Matador sits on a 5,236-acre site in Amarillo, Texas, on land leased from the Texas Tech University System, and is designed to accommodate up to 6 gigawatts of nuclear capacity, Reuters data show. 4
The company has also tried to tamp down speculation about the identity of the would-be tenant. In December, a company spokesperson told Reuters it “categorically” denied a report that Amazon was the prospective tenant that withdrew funding. 5
But the stock is still trading on headlines, not cash flow. Any delay in lining up tenants, or a new turn in the litigation, could keep pressure on the shares and complicate financing for the build.
