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Jefferies said that despite management’s optimism that its backlog continues to grow faster than revenue, Bloom Energy did not provide a formal backlog update.
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JPMorgan also lowered its price target on Bloom, cutting it to $292 from $314 while maintaining an ‘Overweight’ rating.
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The firm attributed the reduction to lower trading multiples among Bloom Energy’s peer group, despite noting that its execution “continues to impress.”
Bloom Energy Corp. (BE) shares suffered their steepest single-day decline in three months despite its third-quarter (Q3) results and fiscal year 2026 forecast surpassing Wall Street expectations.
According to TheFly, Jefferies lowered its price target on the fuel-cell power company, citing a lack of updates around delays tied to its largest opportunity with Oracle Corp. (ORCL).
Bloom Energy shares closed over 11% lower on Friday, falling about 0.3% further during the afterhours session.
Jefferies Flags Lack Of Updates On Oracle Opportunity
Jefferies analyst Julien Dumoulin-Smith lowered the firm’s price target on Bloom Energy to $242 from $289 while maintaining a ‘Hold’ rating on the shares.
The target cut came after Bloom Energy raised its 2026 financial guidance for the third time this year.
Despite the company’s management remaining optimistic that its backlog continues to grow faster than revenue, Bloom Energy did not provide a formal backlog update, Dumoulin-Smith said in a note.
Bloom Energy did highlight recent customer wins, but the analyst said those wins were already well known.
JPMorgan also lowered its price target on Bloom, cutting it to $292 from $314 while maintaining an ‘Overweight’ rating. The firm attributed the reduction to lower trading multiples among Bloom Energy’s peer group, despite noting that its execution “continues to impress.”
BTIG lowered its price target to $250 from $295 while maintaining a ‘Buy’ rating following the results. The firm pointed to a near-term margin drag as Bloom Energy ramps new production capacity and accommodates expedited customer timelines.
BTIG added that the cost of expanding manufacturing capacity is weighing on Bloom Energy’s margin outlook.
Bloom Energy Reports Record Q3 Revenue
Bloom Energy reported record third-quarter revenue of $1.24 billion on Thursday, up 138.1% year over year, with product revenue rising 179.4% to $1.07 billion.
Gross margin increased to 33.8% from 29.2% a year earlier, while operating income rose to $225.4 million from $7.8 million. Its adjusted earnings per share (EPS) came in at $0.94, compared with 15 cents a year earlier.
