Bloom Energy stock surges 10% after record quarter as AI demand fuels growth

Bloom Energy Corp. shares climbed more than 10% in premarket trading.

The company reported stronger-than-expected second-quarter results.

It also crossed $1 billion in quarterly revenue for the first time.

BE raised its full-year 2026 outlook as demand from AI data centers continued to accelerate.

The California-based fuel-cell power provider posted quarterly revenue of $1.065 billion, up 166% from a year earlier, while earnings per share surged to $0.78 from $0.10 in the corresponding period last year.

The results exceeded Wall Street expectations on both revenue and profit, reinforcing investor confidence that Bloom is emerging as a key beneficiary of the rapid expansion in artificial intelligence infrastructure.

The company also raised its 2026 revenue guidance to between $3.9 billion and $4.2 billion, implying around 100% growth over its 2025 revenue at the midpoint of the forecast.

AI infrastructure becomes a major growth engine

While the record financial performance attracted investor attention, management emphasised that Bloom's positioning within the AI infrastructure ecosystem is becoming an increasingly important growth driver.

“The demand for Bloom Energy’s solutions keeps accelerating every quarter as customers who traditionally defaulted to combustion technologies are now proactively choosing Bloom as a superior power solution. Today, all the major US hyperscalers. Bloom is now a standard for AI on-site power," said KR Sridhar, Founder, Chairman and Chief Executive Officer of Bloom Energy.

The company said growing customer adoption, an expanding order backlog, new contract wins and improved financing capabilities continue to strengthen its competitive position in supplying electricity for power-intensive AI facilities.

Sridhar also highlighted how quickly the company's growth trajectory has accelerated.

“It took Bloom 21 years to deliver its first billion-dollar year in 2022. It took us another three years to double our 2022 revenue. Now, we are guiding to double that revenue in just one year, having achieved our first $1 billion quarter.”

Data centre boom supports expansion

Bloom Energy generates electricity using solid oxide fuel cells (SOFCs), which produce power through an electrochemical process rather than conventional combustion.

The technology has become increasingly attractive as cloud providers, AI developers and hyperscale data centre operators search for reliable, on-site power solutions to support rapidly rising electricity demand.

The company has secured several high-profile customers in recent years, including Oracle, Nebius and Brookfield, positioning itself to benefit from the ongoing build-out of AI infrastructure.

Shares remain volatile

Despite Tuesday's rally, Bloom Energy shares remain volatile.

The stock has gained around 70% this year but is still down roughly 40% over the past month and has fallen 23% during the last five trading sessions.

Following the latest gains, the stock was trading near $166.

Analysts remain optimistic

Wall Street continues to see further upside for Bloom Energy as AI-related electricity demand expands.

JPMorgan recently raised its price target on the stock from $267 to $346, while Susquehanna increased its target from $293 to $298.

Baird expects the shares to reach $310, while the consensus analyst target currently stands at approximately $254.

JPMorgan also introduced financial projections through fiscal year 2030, forecasting product deliveries of 4.1 gigawatts by that year, excluding service revenue.

The brokerage said its outlook is partly supported by existing customer agreements, including the recently expanded partnership with Brookfield.

The strong earnings report also reinforced the positive view held by several market commentators.

Earlier this month, CNBC host Jim Cramer recommended the stock following its recent pullback.

“You want to buy Bloom Energy. It’s come down a great deal, and it’s a non-combustible way to be able to power data centers,” he said.

With AI infrastructure spending continuing to gather pace and major technology companies investing heavily in expanding computing capacity, Bloom Energy appears increasingly well positioned to capitalise on one of the fastest-growing segments of the power market.