Bloom Energy Corp (BE) shares surged 15.4% to close at a record $328.91 on Thursday, as investors bet on the company's role in powering AI data centers. The stock hit an intraday high of $329.51, with volume reaching 15.7 million shares, according to StockAnalysis. The rally was fueled by a Federal Energy Regulatory Commission (FERC) order directing U.S. grid operators to accelerate rulemaking for large electricity users, including data centers.
FERC’s Push for Faster Grid Connections
FERC’s action targets large loads—electricity users over 20 megawatts—and aims to make interconnection faster, more reliable, and non-discriminatory. The docket includes data centers, manufacturers, transmission providers, state regulators, and local communities. This move is seen as a positive for Bloom, as data centers increasingly turn to on-site power solutions like Bloom’s solid oxide fuel cells, which generate electricity electrochemically without combustion.
UBS maintained its Buy rating on Bloom with a $322 price target, calling the FERC update a catalyst. The broker noted that utilities may adopt Bloom’s fuel cells to meet data center power needs. However, Bernstein’s Sunaina Ocalan initiated coverage with a Market Perform rating and a $276 target, warning that the stock’s recent rally leaves little room for error without clearer free cash flow and production visibility.
Market Context and Sector Rally
The broader market also supported the rally. The Nasdaq closed up 1.9% and the S&P 500 rose 1.08% on Thursday, as U.S. shares bounced on chipmaker gains and easing oil worries after a U.S.-Iran interim peace deal, per Reuters. The New York Stock Exchange will be closed Friday for Juneteenth, limiting cash-market sessions until Monday.
Bloom has been vocal about power being the key bottleneck for AI projects. In a June 15 data-center survey, Bloom found that 61% of developers would consider bringing their own power if the grid falls short. “Access to power remains the biggest constraint to data center growth,” said Natalie Sunderland, Bloom’s chief marketing officer, citing community pushback as another hurdle.
Strong Financials and Insider Activity
Bloom’s financials have been robust. First-quarter revenue hit $751.1 million, up 130.4% year-over-year, and the company raised its 2026 revenue outlook to $3.4–$3.8 billion. CEO KR Sridhar said in April that Bloom is “ushering in the era of digital power for the digital age.” In a June 17 filing, Bloom’s board awarded Sridhar 271,076 performance stock units (PSUs) that vest only if revenue goals are met from July 2026 through 2029, with a margin kicker and a max payout at 300% of target.
Chief Commercial Officer Aman Joshi sold 3,558 shares at an average price of $289.14 on June 16 to cover tax withholding on RSUs under a Rule 10b5-1 plan. After the sale, Joshi held 172,150 shares.
Sector-Wide Rally and Risks
The AI power trade lifted other names: FuelCell Energy jumped 19.9%, Plug Power rose 7.7%, and GE Vernova added 5.8%. However, Bernstein’s Ocalan cautioned that the stock’s multiple could compress sharply if project approvals drag, local pushback drives up costs, or customers switch to turbines, batteries, or competitors.
