Why Bloom Energy Stock Soared 34% in September, and Why It Might Have More Room to Run
Bloom Energy is expanding to satisfy its growing backlog.
Overview
Bloom Energy (NYSE:BE) is taking a multi-pronged approach to accelerate its momentum as a leading provider of data center power. Investors are buying in, helping send Bloom Energy stock rocketing 34.3% higher in September, according to data provided by S&P Global Market Intelligence.
Wall Street analysts are on board as well, with one boosting Bloom's price target to $308 per share at the start of October. Barclays, led by analyst Christine Cho, raised its price target from $276 per share. The new target implies another 6.5% upside, even after the stock's September surge.
Details
One reason for that optimism is Bloom Energy's recent move to expand production capacity for its fuel cell systems. The need for power solutions for data centers is so widespread that Bloom and investment firm Brookfield Asset Management announced a fivefold expansion of its data center partnership earlier this year. Brookfield now expects to finance $25 billion worth of power projects for AI infrastructure.
Source
Originally published at www.fool.com.