Gary Parrish of CBSSports.com was the first to report it early Sunday.
Ferrell was scheduled to announce his future plans Saturday night at Ruth's Chris restaurant in Indianapolis but the event was postponed because of the tragic death of IU student Hannah Wilson that occurred Friday.
The deadline for underclassmen to announce their intentions to enter the NBA Draft was tonight at midnight. Many expected that either IU or the Ferrell family would put out a press release today that indicated what Ferrell had decided.
Ferrell, a first team All-Big Ten selection as a junior last season, will return to an IU team that is gaining a lot of momentum with the decisions now of Troy Williams, James Blackmon Jr. and now Ferrell to return for the 2015-16 season. Combine that with the addition of 6-10 McDonald's All-American center Thomas Bryant, who signed last week, and many believe that IU will be a preseason top 10 or top 15 team.
This story will be updated as more information becomes available.