Bloom Energy Stock Climbs 12% as AI Power Trade Rebounds, Extending Recovery From Post-Midterm Election Rout

SAN JOSE, Calif. — Shares of Bloom Energy jumped nearly 12% on Wednesday as investors returned to companies that supply power to artificial intelligence data centers. Strong results from AI cloud provider CoreWeave lifted the sector.

The fuel cell maker rose $21.83, or 11.77%, to $207.25 in morning trading, giving the company a market value of about $60.6 billion. The shares had already jumped about 9% in premarket trading.

The rally followed CoreWeave's report late Tuesday showing third-quarter revenue up 168% and a raised full-year outlook. The results eased fears of a slowdown in AI infrastructure spending. Bloom Energy sells on-site fuel cell power systems to data center operators, which have struggled to secure enough electricity from traditional utility grids.

Wednesday's gain extends a sharp rebound for the stock this week. Bloom shares jumped about 12% on Monday, Nov. 9, after the company announced a 900-megawatt power deal with NTT DATA, the Japanese technology services company. The stock also rose nearly 12% on Tuesday, even as the broader market fell after hotter-than-expected inflation data.

The rebound follows a steep selloff last week. Bloom shares plunged about 22% over two days after the midterm elections, amid concerns that a new Congress could impose tighter rules on AI data centers. Some candidates and local communities have raised concerns about the electricity use, water consumption and noise of large data centers.

RBC Capital Markets analyst Christopher Dendrinos defended the stock in a note this week, reiterating an outperform rating and a $335 price target. "We do not think datacenters are dead," Dendrinos wrote.

Dendrinos said the midterm results revealed growing resistance to data centers and louder calls for oversight. He expects future projects to involve more community input and more careful site selection, which could slow construction and add short-term uncertainty. However, he said Bloom remains well positioned because its systems offer fast delivery, cleaner exhaust, low noise and zero water consumption. He said those features matter more as developers seek local support.

Despite its recent rally, Bloom remains well below its peak. The stock traded as high as $351.28 within the past year and as low as $75.70. It is up about 46% over the past 52 weeks. According to Benzinga, the shares were still trading below their 50-day and 200-day moving averages before Wednesday's session, a sign of continued technical weakness.

Bloom recently reported record quarterly results and raised its full-year guidance. The company trades at about 113 times earnings, a premium valuation that reflects investor expectations of strong growth in demand for data center power.

Other fuel cell and clean energy stocks also rose, though Bloom has generally outperformed peers such as FuelCell Energy and Plug Power in recent months because of its large data center contracts.