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Fermi Inc. (NASDAQ:FRMI) is one of the undervalued stocks with high upside potential. On June 26, Fermi America selected Spanish EPC contractor TSK to lead engineering and project management for the second phase of "Project Matador," a massive Texas power campus. TSK will oversee permitting and infrastructure planning for three Siemens SGT6-5000F gas turbines, which are intended to provide reliable, dispatchable power for the site.

Project Matador is a private energy system designed to supply up to 17 GW of electricity directly to hyperscale AI and advanced computing facilities. By combining natural gas, nuclear, solar, and battery storage, the campus aims to address the surging energy demands of the technology sector.

This partnership reflects a growing trend of developers investing in dedicated power assets to secure electricity for AI infrastructure. By using TSK's specialized EPC expertise, Fermi Inc. (NASDAQ:FRMI) aims to accelerate development timelines and reduce execution risks as it scales this critical energy project.

Fermi Inc. (NASDAQ:FRMI) is a developer of private power campuses for AI-centric clients. It is involved in creating and operating an integrated power generation and computing infrastructure. Additionally, it also engages in the development and renting of grid-independent energy generation and high-performance computing campuses.

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 the best short-term AI stock.

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