Fermi surges 14% on AMD credit support for Project Matador

Fermi Inc. finally gave its shareholders something to smile about. On October 13, 2026, the Texas energy developer announced that AMD will provide credit support for the first big lease at Project Matador, its sprawling AI power campus in Carson County. The stock jumped on the news. For a company down 59% year to date, a double-digit pop counts as a very good Monday. What AMD actually agreed to Fermi, which trades on the Nasdaq as FRMI and operates as Fermi America, said AMD is backing a Phase 1 lease with TensorWave TEX1. That entity is a subsidiary of AI cloud provider TensorWave. The lease covers 222 MW of gross power capacity. Fermi first disclosed the deal on August 10, 2026, and it is projected to bring in approximately $6.5 billion in revenue over 15 years. AMD’s role goes beyond moral support. The credit backing includes firm commitments for project-level financing, which is the kind of paperwork lenders want to see before they write large checks. There is also room to grow. AMD has an expansion framework covering up to 650 MW, nearly three times the Phase 1 capacity. Energy deliveries for the initial 222 MW are scheduled to begin in phases during the second half of 2027. T...