Bloom Energy (NYSE:BE) Trading Down 6.3% - Should You Sell?

Key Points

• Bloom Energy shares fell 6.3% on Thursday, even as trading volume jumped above average, with the stock moving between $257.51 and $289.50 in intraday trading.
• The company’s AI infrastructure partnership with Brookfield was expanded to $25 billion, reinforcing optimism that Bloom’s fuel-cell systems could benefit from growing demand for onsite power at data centers.
• Despite strong recent momentum and upbeat analyst targets, Zacks downgraded Bloom Energy to “hold”, and recent insider selling adds a note of caution after the stock’s sharp run-up.

Bloom Energy Corporation (NYSE:BE - Get Free Report)'s share price was down 6.3% on Thursday . The company traded as low as $257.51 and last traded at $271.1280. Approximately 15,686,548 shares traded hands during mid-day trading, an increase of 34% from the average daily volume of 11,675,108 shares. The stock had previously closed at $289.50.

Key Headlines Impacting Bloom Energy

Here are the key news stories impacting Bloom Energy this week:

• Positive Sentiment: Bloom Energy and Brookfield expanded their AI infrastructure power-financing partnership to $25 billion, signaling much larger demand potential for Bloom’s fuel-cell solutions. Business Wire article
• Positive Sentiment: Multiple articles point to Bloom as a key beneficiary of AI data center power shortages, with analysts and commentators highlighting its backlog, onsite power advantage, and the possibility of a short squeeze driven by strong momentum. MarketBeat article
• Neutral Sentiment: Some commentary says the stock’s huge rally already reflects a lot of optimism, making valuation and flawless execution increasingly important for the next leg higher. Trefis article
• Negative Sentiment: Bloom Energy was also downgraded by Zacks Research from “strong-buy” to “hold,” adding a note of caution after the recent surge. Zacks Research downgrade

Analysts Set New Price Targets

BE has been the topic of several recent analyst reports. Royal Bank Of Canada reiterated an "outperform" rating and issued a $335.00 target price on shares of Bloom Energy in a report on Wednesday, June 10th. Mizuho set a $285.00 price objective on Bloom Energy in a research note on Friday, May 1st. Robert W. Baird boosted their price objective on Bloom Energy to $242.00 and gave the stock an "outperform" rating in a research report on Wednesday, April 22nd. Zacks Research downgraded Bloom Energy from a "strong-buy" rating to a "hold" rating in a research note on Monday. Finally, BTIG Research lifted their price target on Bloom Energy to $295.00 and gave the stock a "buy" rating in a research report on Wednesday, April 29th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, twelve have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $236.14.

Bloom Energy Price Performance

The company has a quick ratio of 4.10, a current ratio of 5.03 and a debt-to-equity ratio of 2.90. The stock's 50-day moving average price is $279.49 and its 200 day moving average price is $189.59. The firm has a market cap of $77.12 billion, a price-to-earnings ratio of -5,421.48 and a beta of 3.72.

Bloom Energy (NYSE:BE - Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The company reported $0.44 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.12 by $0.32. Bloom Energy had a return on equity of 21.05% and a net margin of 0.25%.The firm had revenue of $751.05 million for the quarter, compared to analyst estimates of $539.94 million. During the same period in the previous year, the company posted $0.03 earnings per share. The company's quarterly revenue was up 130.4% compared to the same quarter last year. Bloom Energy has set its FY 2026 guidance at 1.850-2.250 EPS. Equities research analysts predict that Bloom Energy Corporation will post 1.31 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Mary K. Bush sold 25,000 shares of the firm's stock in a transaction on Thursday, May 7th. The stock was sold at an average price of $266.96, for a total value of $6,674,000.00. Following the completion of the transaction, the director directly owned 108,524 shares of the company's stock, valued at $28,971,567.04. This trade represents a 18.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Shawn Marie Soderberg sold 35,000 shares of the business's stock in a transaction on Wednesday, April 29th. The shares were sold at an average price of $279.00, for a total transaction of $9,765,000.00. Following the completion of the sale, the insider directly owned 341,731 shares in the company, valued at $95,342,949. This trade represents a 9.29% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 220,274 shares of company stock valued at $57,337,672 in the last ninety days. 3.00% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in BE. Bayforest Capital Ltd bought a new stake in shares of Bloom Energy in the 1st quarter valued at approximately $2,055,000. AQR Capital Management LLC acquired a new stake in Bloom Energy in the 1st quarter valued at $1,820,000. NewEdge Advisors LLC boosted its stake in Bloom Energy by 674.7% in the 1st quarter. NewEdge Advisors LLC now owns 1,867 shares of the company's stock valued at $37,000 after buying an additional 1,626 shares in the last quarter. Goldman Sachs Group Inc. grew its position in Bloom Energy by 50.3% in the first quarter. Goldman Sachs Group Inc. now owns 2,498,840 shares of the company's stock valued at $49,127,000 after acquiring an additional 836,810 shares during the period. Finally, Focus Partners Wealth grew its position in Bloom Energy by 30.7% in the first quarter. Focus Partners Wealth now owns 20,063 shares of the company's stock valued at $394,000 after acquiring an additional 4,716 shares during the period. Institutional investors own 77.04% of the company's stock.

About Bloom Energy

Bloom Energy is a clean energy technology company that designs, manufactures and deploys solid oxide fuel cell systems for on-site power generation. Its flagship product, the Bloom Energy Server, converts natural gas, biogas or hydrogen into electricity through an electrochemical reaction, offering customers a reliable, low-carbon alternative to grid power. The company also provides a suite of services that includes system installation, remote monitoring and preventative maintenance to ensure long-term performance and uptime.

Founded in 2001 by Dr.

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