Fermi Inc. (NASDAQ:FRMI) is one of them The stock Jim Cramer gave his opinion on. A caller asked if the stock was a buy, sell or hold, and Cramer replied:
It’s really hard. It’s a really speculative stock, and so I’m going to be really clear, and I’m going to tell you that I want you to sell it…just sell it, okay? I just don’t like it, and I always feel like, I know it sounds harsh, but I think it’s a loser. Was a loser from the day it became public, even I like the people involved. ouch
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Fermi Inc. (NASDAQ: FRMI ) is building large-scale next-generation electronic networks designed to power advanced artificial intelligence. The company’s planned campus will combine nuclear, natural gas, solar, battery storage, and renewable electricity to deliver gigawatt-scale highly redundant energy. Cramer discussed the stock during the January 7 episode, as he said:
Let’s not forget Fermi, which went public in early October in the hopes of being the most anticipated AI-related business of the year. Fermi is more of a business plan than a business. They plan to build a massive data center in Texas with their own power generation, including what everyone loves, a nuclear reactor at the end. Neat plan, but I almost lost my mind when the market valued this thing at $19 billion right out of the gate. As I said at the time, no business plan is worth $19 billion. Fermi was at $32 at the time. Now, it’s less than $10. I hope you avoid this pill.
While we acknowledge FRMI’s potential as an investment, we believe some AI stocks offer higher potential and lower risk. If you’re looking for the most undervalued AI stocks that stand to benefit significantly from Trump-era tariffs and the offshore trend, check out our free report Best short-term AI stocks.
Read more: 30 stocks that should double in 3 years and 11 Secret AI Stocks to Buy Right Now.
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