This article first appeared on GuruFocus.
Jefferies raised its price target on Bloom Energy (NYSE:BE), the fuel cell maker, to $264 from $229 while keeping a Hold rating, saying its behind-the-meter power thesis remains intact despite friction at some of its biggest projects. Bloom Energy shares were up 13.34% intraday, as of 12:40 p.m. ET.
Jefferies pointed to Brookfield’s $25 billion framework, American Electric Power’s (NASDAQ:AEP) $2.65 billion firm order and Bloom’s plan to reach 2 gigawatts of manufacturing capacity by the end of 2026 as support for near-term growth. It said problems at the Jupiter and Vineland projects raise timing risk tied to air, water, gas and local approvals, rather than questions about customer demand or financing.
That distinction matters because Bloom has sizable revenue concentrated in several contested projects, which Jefferies expects to keep the stock volatile around event risk. Jupiter is the New Mexico data center campus where Oracle (ORCL) recently issued a force majeure notice, and it’s designed to run on Bloom’s fuel cells.
Source: finance.yahoo.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.
