We just published a list of the 10 Best 52-Week Low NASDAQ Stocks to Buy According to Billionaires and Fermi (NASDAQ:FRMI) ranked 6th on this list.
Scan the Nasdaq stocks hitting 52-week lows this week and a pattern jumps out: many of the biggest names build, power or rent space for artificial intelligence. Few of these businesses are shrinking. Several reported record revenue in recent weeks, and their shares kept sliding anyway.
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A New Political Risk Arrives in Washington
Then came the election. Reuters reported on November 4 that Wall Street closed sharply higher after Democrats won Congress, but data center shares fell on fears of tighter AI regulation. Democrats made gains in Texas and Georgia, where public opposition to the industry’s rapid expansion has been growing.
We also wrote about how leverage turned an AI bet into a fire sale for one fund.
The pressure carried into the next day. UBS analysts estimated that around 30% of expected US data center capacity additions in 2028 could be at risk from potential construction pauses, Reuters reported on November 5. Large technology companies, by contrast, rose on the view that a slower buildout would curb their own spending, Reuters said.
Fermi hit a new 52-week low and had 19 billionaire holders and 57 hedge fund holders as of Q2 2026.
Fermi has a huge plan and a thin record of turning it into rent. The company wants to build a giant power and data center campus in the Texas Panhandle, and its first prospective tenant walked away late last year. A $6.5 billion, 15-year lease with TensorWave for 222 megawatts followed this summer. But the lease did not take effect by its closing deadline last week because conditions were still unmet, and the shares fell. A regulatory filing also said Fermi’s cash would not cover the next 12 months without more financing.
Bulls point to AMD, which signed a credit support agreement for the lease, and to the company’s statement that the parties are still working toward closing. Fermi calls the AMD backing a key step toward project financing. The lease also lets the tenant expand the partnership to more than 650 megawatts, so a closed deal could grow well beyond the first building. That makes the closing, and the financing that follows, the event the stock now trades on.
You might also be interested in reading our piece on how a landmark power deal puts Fermi’s big bet to the test.
While we acknowledge the risk and potential of FRMI as an investment, we believe certain AI infrastructure stocks offer far stronger long-term potential at a much more attractive entry point. If you are looking for an AI stock more promising than FRMI that operates as a critical AI tollbooth and stands as the most important company in the world, check out our report about this must-own AI stock.
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