Intel stock extends gains after report of possible U.S. government stake
Investing.com - BMO Capital has lowered its price target on Ballard Power Systems (NASDAQ:BLDP) to $110.00 from $112.00 while maintaining an Underperform rating on the stock. According to InvestingPro data, the company currently trades at $1.80, with analyst targets ranging from $1.00 to $6.50.
The firm’s decision comes as new Ballard Power CEO Marty Neese has emphasized cost reductions and cash preservation strategies while the company faces slower adoption of its fuel cell heavy-duty mobility solutions. This focus aligns with InvestingPro analysis showing the company is quickly burning through cash, despite maintaining more cash than debt on its balance sheet.
BMO Capital noted that Ballard Power plans to provide more details about the second phase of its restructuring plan during its next earnings call, with the company targeting a fiscal year 2026 Analyst Day.
Despite Ballard Power shares rallying over 30% in the last three months and now trading in line with cash value, BMO Capital expressed concern about limited coverage of the company’s 12-month order book compared to consensus revenue expectations.
The firm maintained its Underperform rating on Ballard Power stock, suggesting continued caution about the company’s near-term prospects in the fuel cell market.
In other recent news, Ballard Power Systems reported its financial results for the second quarter of 2025, showing a narrower-than-expected loss per share, with an earnings per share (EPS) of -$0.08 compared to the forecasted -$0.09. However, the company fell short on revenue expectations, posting $17.8 million against the anticipated $18.69 million. This revenue miss comes amid ongoing restructuring efforts, including a 30% operational expense reduction announced on July 31, 2024. Analysts at TD Cowen maintained a Sell rating on Ballard Power Systems, with a price target of $1.00, following the company’s expense reduction announcement. CFRA also maintained its Hold rating and a $1.90 price target, citing regulatory tailwinds despite lowering sales forecasts for 2025 and 2026. CFRA’s revised projections include a reduction of $4 million in 2025 sales to $90 million and an $11 million cut in 2026 forecasts to $116 million. These developments highlight Ballard Power Systems’ ongoing challenges and strategic adjustments in the current market environment.
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