Bloom Energy (SYM: BE) saw big momentum late last week.
All after Piper Sandler upgraded the stock to an overweight rating with a new price target of $20. That was after Bloom Energy announced it reached an agreement with AEP to power artificial intelligence data centers and supply up to a gigawatt of its products. The company also said AEP ordered 100 megawatts of fuel cells with more expected next year.
With that order, analysts believe BE revenue could soar to $1.8 billion in the new year.
As noted in the company’s press release:
“The agreement expands Bloom’s previous work with AEP to deploy solid oxide fuel cells (SOFCs) in commercial and industrial settings. Bloom Energy’s fuel cell solutions can be rapidly deployed and offer very high availability – a combination of attributes that are not offered by any other commercial solution. Bloom fuel cell deployments have very high-power density, 100 MW per acre. The initial installation of Bloom’s fuel cells will help meet the immediate power of AI data centers.”
JPMorgan also raised its price target on Bloom Energy with a neutral rating. They noted that the recent AEP agreement is positive for sentiment and increases its market visibility.
