BE Stock Jumps After AEP Unit Signs $2.65B Deal For Fuel Cells — Analysts Call It A ‘Meaningful Positive’ For Bloom Energy

• Following AEP's disclosure, analysts at Evercore ISI called the deal a “meaningful positive” for Bloom Energy.
• The firm said the deal underscores strong demand for Bloom Energy’s products.
• Evercore ISI also noted that this deal offers investors insights that the contract with AEP will result in volumes above the minimum commitment of 100 MW.

Bloom Energy Corp. (BE) shares gained over 10% in Thursday’s opening trade following a disclosure from American Electric Power Company Inc. (AEP) regarding the execution of an unconditional purchase agreement in a deal valued at $2.65 billion.

In a filing with the U.S. Securities and Exchange Commission (SEC) on Thursday, AEP stated that an unregulated subsidiary of the company executed a “substantial portion” of a one-gigawatt purchase agreement in a deal valued at $2.65 billion.

The AEP unit also signed a 20-year agreement with an unnamed customer to supply the entire output of the fuel cell generation capacity it has purchased from Bloom Energy. This deal is subject to certain conditions expected to be satisfied by the second quarter (Q2) of 2026.

The AEP unit had signed an agreement with Bloom Energy in 2024 to acquire 100 megawatts of solid oxide fuel cells, with an option to purchase an additional 900 MW worth of cells.

What Are Analysts Saying?

Following the disclosure from AEP, analysts at Evercore ISI termed the deal a “meaningful positive” for Bloom Energy, according to TheFly.

The firm stated that this deal shines a light on the demand for Bloom Energy’s product and offers investors insights that the contract with AEP will result in volumes above the minimum commitment of 100 MW.

Evercore ISI has an ‘Outperform’ rating on Bloom Energy, with a price target of $152. This implies an upside of 29% from current levels.

How Did Stocktwits Users React?

Retail sentiment on Stocktwits around Bloom Energy trended in the ‘bullish’ territory at the time of writing, with message volumes hovering at ‘high’ levels.

One bullish Stocktwits user thinks that Bloom Energy’s product is “the” solution for onsite power.

Another user called the AEP deal a “massive earnings driver” for Bloom Energy.

BE stock is up 42% year-to-date and 405% over the past 12 months.

Also See: Paramount Says Its $30 Per Share Offer For Warner Bros Is ‘Superior’ Than The Netflix Deal

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