FuelCell Energy (FCEL) Eyes Expansion Amid Rising AI Power Needs

FuelCell Energy Inc. (NASDAQ:FCEL) is one of the best alternative energy stocks to invest in according to analysts. As of February 18, FuelCell Energy Inc. (NASDAQ:FCEL) carries a consensus Hold rating with a $9.33 average target, implying 26.58% upside potential.

On January 20, FuelCell and Sustainable Development Capital LLP (SDCL) announced a partnership to deploy up to 450 megawatts of advanced fuel-cell power systems at data centers and other mission-critical facilities worldwide.

The companies signed a letter of intent (LOI) that detailed the plan to combine FuelCell Energy’s power generation technology with SDCL’s expertise in financing and operating large-scale energy infrastructure. This partnership is a direct response to the explosive growth of AI and high-performance computing, the LOI stated.

According to FuelCell CEO Jason Few, “As AI and high-performance computing scale, power is no longer just about more capacity; it’s about a different architecture.” In other words, the executive believes AI-era data centers need more power and that they also need a completely different way of getting it.

For SDCL CEO Jonathan Maxwell, their interest is in “energy efficient infrastructure that delivers long-term value.” That way, they will be part of the core support system for the evolution to a cleaner energy system. “FuelCell’s technology aligns well with that vision, offering reliable, high-availability power with significantly lower emissions,” Maxwell said.

FuelCell Energy Inc. (NASDAQ:FCEL) is a fuel cell technology company headquartered in Danbury, Connecticut. It designs, manufactures, operates, and services power plants based on molten carbonate fuel cells. The company’s products include fuel cell systems for baseload power, combined heat and power, microgrids, biogas utilization, carbon capture, and hydrogen production through electrolysis.

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Disclosure: None. This article is originally published at Insider Monkey.