Bloom Energy stock price target raised to $80 from $42 by BTIG

Investing.com - BTIG raised its price target on Bloom Energy Corp. (NYSE:BE) to $80.00 from $42.00 on Monday, maintaining a Buy rating on the fuel cell manufacturer amid growing demand from AI and high-performance computing (HPC) data centers. The stock, currently trading at $70.32, has delivered an impressive 557% return over the past year, though InvestingPro data suggests the company is trading above its Fair Value.

The firm cited tightening power generation supply chains due to AI/HPC buildout in the US, which has extended lead times for some power generation equipment by 2-3 years, increasing demand for Bloom Energy’s fuel-efficient, load-following fuel cells.

Bloom Energy’s management approved a 1GW expansion at its Fremont facility in July, which BTIG notes has the potential to double Product revenue as production capacity ramps in 2027.

The company’s value proposition was validated by a contract with Oracle (NYSE:ORCL) in July to rapidly deploy its fuel servers, with power coming online within 90 days.

BTIG projects Bloom Energy’s 2027 Product revenue at approximately $2.9 billion, compared to consensus estimates of $2.2 billion, implying about 50% utilization across the company’s expected 2GW of fuel cell capacity.

In other recent news, Bloom Energy has seen a series of price target upgrades from several major investment firms, highlighting its growing potential in the AI data center power market. UBS raised its price target for Bloom Energy to $105 from $41, maintaining a Buy rating and emphasizing the company’s "time to power advantage" as crucial for the data center market. Morgan Stanley also increased its price target to $85 from $44, maintaining an Overweight rating, with analyst Andrew Percoco pointing to Oracle’s significant bookings as a catalyst for Bloom Energy’s prospects. Wells Fargo adjusted its price target to $65 from $38, maintaining an Equal Weight rating, and noted the accelerating demand for AI-driven behind-the-meter power solutions. BMO Capital raised its price target to $75 from $35, maintaining an Outperform rating due to increased confidence in the long-term demand for Bloom Energy’s offerings. These recent developments reflect a strong analyst consensus on Bloom Energy’s potential growth in the expanding AI power market.

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