Bloom Energy Corp. (NYSE:BE) stock surged after posting blowout quarterly results and unveiling new data center power partnerships that underscore its growing role in the AI-driven energy buildout.
Q3 Earnings and Market Reaction
The fuel cell maker’s revenue soared past expectations as demand from hyperscale developers accelerates, positioning the company to turn unused capacity into firm backlog and fueling optimism about long-term growth in off-grid clean power.
BTIG noted that the beat was driven by stronger-than-expected product sales, which came in about 25% above consensus. Non-GAAP gross margin rose about 510 basis points year-on-year to around 30%, topping expectations.
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Bloom Energy shares surged about 19% in after-hours trading Tuesday after the company posted third-quarter revenue of $519 million, roughly 21% above Wall Street’s $428 million estimate.
Analysts led by Gregory Lewis raised their price forecast for Bloom Energy to $145 from $80 and maintained their Buy rating.
BTIG credited Bloom’s improving manufacturing efficiency and expanding appeal of its fuel cell technology, which now delivers ten times the power output of a decade ago.
Bloom has successfully refined its fuel cell to attract a broader customer base, with management noting a tenfold increase in power output over the past decade.
The company also highlighted rising data center demand and a growing project pipeline, including a 900MW Wyoming site and a new $5 billion Brookfield partnership.
Raised Financial Guidance and Capacity Expansion
Following the beat, Bloom now expects full-year 2025 revenue to come in above its previous $1.65 billion-$1.85 billion guidance range.
While the fourth quarter remains the expected seasonal high for product acceptances, investors are already focusing on fiscal 2026 and 2027, when the company will begin delivering under large data center-linked agreements.
The firm’s 1GW Fremont expansion remains on schedule to start up by the end of 2026, and current capacity should meet near-term demand, BTIG noted. Street estimates imply 500-550MW deployment in 2026, rising to over 800MW in 2027.
Management said Bloom would not be a production bottleneck and is already building a team for further manufacturing expansion beyond 2GW. Future growth at Fremont should be capital-light, estimated at $100 million per GW or less.
Earlier in October, Bloom entered a partnership with Brookfield Asset Management (NYSE:BAM) to become its preferred supplier of behind-the-meter power solutions, potentially representing about 1.5GW of fuel cell capacity. The joint venture’s initial commitments were not disclosed, but the first site announcement is expected in Europe by year-end.
Long-Term Financial Forecasts
The firm now projects fiscal 2025 revenue of about $1.88 billion, up from the prior $1.72 billion, and fiscal 2026 revenue of roughly $2.32 billion, compared with $2.22 billion previously.
BTIG expects 2025 adjusted EBITDA of $230.01 million, up from the earlier $209.64 million, while maintaining its 2026 EBITDA estimate largely flat at $383.67 million versus $387.70 million previously.
The firm noted Bloom trades at about 90x consensus 2026 EBITDA of $359 million. The new $145 price forecast implies roughly 47x 2027 EBITDA of $743 million, based on a two-stage DCF model that assumes 29% annual revenue growth through 2030, moderating to 20% through 2040 as U.S. power demand stabilizes.
Price Action: BE shares were trading higher by 21.82% to $138 at last check Wednesday.
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