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Fermi Inc. (NASDAQ:FRMI) is one of the 10 Best New Stocks to Buy Other Than SpaceX.

On June 23, 2026, Stifel lowered its price target on Fermi Inc. (NASDAQ:FRMI) to $17 from $29 and kept a Buy rating. Stifel said Fermi has apparently made progress in the background after months of post-IPO uncertainty, but the continued wait for a firm contract with an initial tenant has "clearly delayed the story and rattled our valuation." The firm updated its forecasts and said Fermi remains "a high-risk, high-reward, pre-revenue story."

On June 11, Citizens said The Information's report that OpenAI is in talks to lease a 10-gigawatt data center in Ohio through funding provided by Nvidia bodes well for Fermi. Citizens said the report improves the likelihood of a significant signed lease for Fermi as the company seeks its first lease for its developing 11 GW natural gas-powered complex. Fermi shares were up 13% to $6.35 following Citizens' note.

Pixabay/Public Domain

Last month, Evercore ISI analyst Nicholas Amicucci downgraded Fermi to In Line from Outperform with a price target of $11, down from $20. Amicucci said the downgrade is "not a rejection" of the long-term scarcity value of Project Matador or the broader power-demand thesis, but reflects a changed underwriting standard. Amicucci said Fermi 2.0 is "credible evidence" that a reset has begun, but not yet proof that it has worked.

Fermi Inc. (NASDAQ:FRMI) develops next-gen private electric grids that deliver highly redundant gigawatt-scale power to support next-gen intelligence and AI computing.

While we acknowledge the potential of FRMI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on theΒ best short-term AI stock.

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