Bloom Energy (NYSE:BE) stock is enjoying a strong day in the market so far, up more than 2% as of this writing after announcing a new deal with CoreWeave. What does this mean for Bloom Energy stock?
Well, it’s certainly an encouraging development for the energy company. The partnership will see Bloom integrate proprietary fuel cells to generate power at CoreWeave’s Volo, Illinois high-performance data center. This will allow the firm to offer high performance cloud and artificial intelligence (AI) solutions.
“We’re proud to partner with Bloom Energy and utilize their industry-leading solid oxide fuel cell technology,” said CoreWeave Chief Strategy Officer Brian Venturo. “This partnership will allow us to deliver unmatched performance and reliability to our customers while advancing our sustainability objectives.”
Bloom is best-known for its solid oxide fuel cells used to provide clean, cost-effective energy. In this regard, the pairing with CoreWeave represents just the latest big name partnership to utilize Bloom’s fuel cell technology.
“Bloom Energy is thrilled to have been selected by CoreWeave,” said Aman Joshi, Bloom Energy’s Chief Commercial Officer. “This validation from CoreWeave, a leader in AI, is a testament to our leading-edge technology and its importance to AI.”
Per the deal, the fuel cell installation will begin in the third quarter of 2025.
Bloom Energy Stock Climbs on CoreWeave Deal
With today’s gains, BE stock is up about 4% so far this year. While this is behind the S&P 500’s 18% gains this year, it still represents solid growth for the business.
Bloom Energy has had something of a slow year thus far, at least in terms of financial results. Indeed, the company reported revenue of $235.3 million in Q1, down almost 15% year-over-year (YOY) and well below analyst projections.
Bloom also has a number of major competitors in the world of fuel cells, including the likes of Plug Power (NASDAQ:PLUG) and EnerSys (NYSE:ENS).
On the date of publication, Shrey Dua did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
