Eos Energy stock falls after Fuzzy Panda issues short report
Investing.com - Jefferies raised its price target on Bloom Energy Corp. (NYSE:BE) to $53.00 from $31.00 on Friday, while maintaining an Underperform rating on the stock. Bloom Energy currently trades at $127.85, having delivered an extraordinary 1,231% return over the past year.
The firm cited the recent BAM deal as the primary reason for the price target increase, though it expressed hesitation and continues to seek clarity regarding the profitability of the joint venture structure. Despite the higher target, InvestingPro analysis indicates Bloom Energy is significantly overvalued with a P/E ratio of 2,028 and a market cap of $30.24 billion.
Jefferies specifically noted concerns about how the joint venture would truly impact Bloom Energy’s cash flows, despite the upward revision in estimates.
The firm identified the fourth quarter as a key marker for investors, as Bloom Energy is expected to disclose its backlog, which should ideally include a significant portion of sales for 2026 and 2027.
Jefferies emphasized that the timing of deployment remains critical for Bloom Energy to meet what it described as "elevated investor expectations."
In other recent news, Bloom Energy Corporation has announced the pricing of a $2.2 billion convertible senior notes offering. Initially set at $1.75 billion, the offering was increased by $450 million, with the notes maturing on November 15, 2030. Additionally, Bloom Energy is in negotiations for a potential $600 million revolving credit facility, though no agreements have been finalized yet. The company has also granted initial purchasers an option to acquire up to an additional $300 million in notes within 13 days of issuance. HSBC has upgraded Bloom Energy’s stock rating from Hold to Buy, citing positive prospects related to AI data centers and hydrogen energy solutions. The firm also raised its price target to $150.00 from $100.00. These developments indicate a strategic financial maneuvering by Bloom Energy to bolster its capital and leverage growth opportunities.
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