Can BE's Fast Onsite Energy Servers Deployment Power Long-Term Growth?

Bloom Energy Corporation’s (BE) Energy Server platform provides on-site efficient, clean and dependable power solutions for both commercial and utility customers. Utilizing its proprietary solid oxide technology, the system generates electricity through the electrochemical conversion of fuels, eliminating the need for combustion.

Given the current bottleneck in developing new transmission and distribution lines, Bloom Energy’s modular Energy Servers can be a game changer. Energy Servers will be deployed onsite and expanded rapidly, allowing customers to address urgent power needs without extensive infrastructure work.

This fast installation capability provides Bloom Energy with a significant competitive advantage, particularly in sectors that demand high reliability and minimal downtime. It also positions the company to seize growing opportunities among industries speeding up their shift toward cleaner, more dependable energy solutions.

Bloom Energy can benefit from the rising demand for reliable and clean power, fueled by the rapid growth of AI-driven data centers, crypto-mining facilities and the re-shoring of manufacturing in the United States.

The company’s quick deployment enables recurring revenues from service agreements and long-term partnerships, strengthening customer relationships. Increasing installations also creates economies of scale, enhancing margins and bolstering the company’s overall financial performance.

Bloom Energy’s rapid delivery of tailored, grid-independent power solutions positions it to capitalize on growing demand for reliable clean energy. Its efficient deployment and proven technology are likely to drive sustained growth and increase shareholder value.

Rapid Deployment Driving Growth in Alternative Energy

Quick deployment of energy systems allows alternative energy companies to meet rising demand efficiently, secure long-term contracts and scale operations faster. This agility enhances revenue streams, strengthens customer relationships and supports overall financial growth in the clean energy sector.

Plug Power (PLUG) and FuelCell Energy (FCEL) benefit from rapid deployment by quickly delivering hydrogen and fuel cell solutions to industrial and commercial clients. Fast installations help secure long-term contracts, accelerate market penetration and reduce time-to-revenues. This agility strengthens customer relationships and positions the companies for sustained growth in the expanding clean energy market.

BE’s Earnings Estimates Move Up

The Zacks Consensus Estimate for Bloom Energy’s earnings per share for 2025 and 2026 increased year over year by 78.57% and 56%, respectively.

BE’s Price Performance

Shares of Bloom Energy have registered a strong gain of 286.7% in the past three months compared with the Zacks Alternative Energy - Other industry’s rise of 8.2%.

BE Stock Returns Better Than Its Industry

The return on invested capital (“ROIC”) measures how well a company generates returns on the money it invests. ROIC is a key indicator of a company's profitability and operational efficiency. ROIC of the company indicates that it is investing money more efficiently than peers in the industry.

Bloom Energy’s ROIC has outperformed the industry average in the trailing 12 months. ROIC of BE was 4.62% compared with the industry average of 1.85%.

BE’s Zacks Rank

Bloom Energy currently has a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
 

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research