Bloom Energy (BE) shares climbed more than 8% in pre-market trading on Wednesday, extending gains from the previous session after the company expanded its financing partnership with Brookfield from $5 billion to $25 billion. The increased funding will help Bloom advance its energy operations to support AI infrastructure development. Wall Street brokerages raised price targets following the announcement, with multiple analysts citing the company's competitive positioning in the AI data center power market.
Brokerages Raise Price Targets Following Brookfield Deal
Multiple brokerages raised their price targets on Bloom Energy after the company expanded its financing partnership with Brookfield. UBS raised the price target to $350 and kept a 'Buy' rating. Evercore ISI raised the price target to $350 from $295 and maintained an 'Outperform' rating, according to The Fly.
Clear Street raised its price target on Bloom Energy to $290 from $250 but maintained a 'Hold' rating, citing the stock's high valuation. The brokerage increased its revenue growth forecasts to 84% for 2026, 67% for 2027, and 42% for 2028.
Of the 28 brokerages covering the stock, 14 have a 'Buy' rating, 12 have a 'Hold' rating, and 2 have a 'Sell' rating, according to Koyfin data.
Evercore Highlights Bloom's Dispatchable Power Advantage
Evercore ISI analyst Nicholas Amicucci said that Bloom's ability to provide reliable, dispatchable power to a "volatile demand profile" differentiates the company from its competitors. Bloom Energy's Fuel Cell technology converts natural gas or hydrogen into electricity through a non-combustion process. This helps in continuous power generation and is especially useful for data centers. The power generation can be done on-site.
Retail Investors Turn Extremely Bullish on BE
Retail sentiment surrounding BE on Stocktwits turned 'extremely bullish' from 'bullish' a day earlier, while message volumes surged by more than 330%. One user expects the stock to surge to $400 this month. Another user called the BE deal "great for the industry."
BE shares are around 7% off their all-time high of $351.3 recorded last week. BE shares have ripped past 200% so far this year.
FAQ
What did Bloom Energy announce regarding its Brookfield partnership?
Bloom Energy expanded its financing partnership with Brookfield from $5 billion to $25 billion to accelerate the global rollout of its fuel cell business amid rising demand from hyperscalers and AI infrastructure developers.
Why did Wall Street analysts raise price targets on Bloom Energy stocks?
Analysts raised price targets following the expanded Brookfield financing deal. Evercore ISI analyst Nicholas Amicucci cited Bloom's ability to provide reliable, dispatchable power to a volatile demand profile as a key differentiator from competitors.
How did Bloom Energy stocks perform in pre-market trading on Wednesday?
Bloom Energy shares climbed more than 8% in pre-market trading on Wednesday, adding to a double-digit rally from the previous session. The stock is around 7% off its all-time high of $351.3 recorded last week.
