Bloom Energy to Release Q4 Earnings: How Should You Play the Stock?

Core Viewpoint - Bloom Energy Corporation (BE) is anticipated to show improvements in both revenue and earnings for the fourth quarter of 2024, with results expected to be reported on February 27, after market close [1] Revenue and Earnings Estimates - The Zacks Consensus Estimate for BE's fourth-quarter revenues is $551.6 million, reflecting a 43.35% increase from the previous year [2] - The Zacks Consensus Estimate for BE's fourth-quarter earnings is 32 cents per share, indicating a growth of 357.1% from the year-ago figure [2] Earnings Prediction Factors - Bloom Energy has an Earnings ESP of -11.95% and currently holds a Zacks Rank of 3 (Hold), suggesting that the model does not predict a definitive earnings beat this time [3] - Factors likely contributing to BE's Q4 earnings include expanding domestic and international commercial capabilities, with high power density fuel cell deployments meeting the growing electricity demand from data centers [5] Strategic Partnerships and Projects - A significant partnership with SK ecoplant Co., Ltd. is expected to result in the purchase of 500 MW of Bloom solid oxide fuel cells between January 1, 2024, and December 31, 2027, positively impacting fourth-quarter earnings [6] - Bloom Energy announced a partnership with FPM Development for 20 MW of SOFCs in Los Angeles, which is expected to enhance fourth-quarter earnings [7] - An 80 MW project in South Korea is set to begin commercial operations in 2025, further contributing to the company's growth [8] Market Performance - BE's shares have increased by 135.7% over the past year, outperforming the industry average increase of 55.1% [9] Investment Thesis - Bloom Energy is recognized as a leader in solid oxide fuel cell technology, demonstrating high electrical efficiency and experiencing significant commercial interest in its products [11] - The demand for clean energy is projected to rise, particularly from energy-intensive industries, positioning Bloom Energy's carbon-free hydrogen fuel cell as a crucial solution for reducing carbon emissions and alleviating grid congestion [12] - Currently, 48% of Bloom Energy's revenues are generated from international markets, indicating growing global recognition [13] Conclusion - Bloom Energy is poised to benefit from increasing demand for clean energy, with a global leadership position in stationary fuel cell and power generation, having deployed 1.3 GW worldwide [14]