Wells Fargo analyst Michael Blum maintained a Hold rating on Bloom Energy (BE – Research Report) yesterday and set a price target of $22.00.
Michael Blum has given his Hold rating due to a combination of factors surrounding Bloom Energy’s recent performance and future outlook. The company reported strong fourth-quarter results, surpassing expectations in several key financial metrics such as gross profit, gross margin, adjusted EBITDA, and free cash flow per share. These positive results indicate a solid financial standing and operational efficiency.
Despite the positive quarterly performance, the guidance for 2025 presents a mixed picture. While Bloom Energy’s revenue and gross margin projections exceed consensus estimates, the anticipated non-GAAP operating income falls short of expectations. Additionally, the service backlog has shown growth, but the product backlog remains unchanged. These factors suggest a stable but cautious outlook, leading to the Hold recommendation.
BE’s price has also changed dramatically for the past six months – from $11.770 to $23.040, which is a 95.75% increase.