Bloom Energy (BE.US) rebounded over 5% in pre-market trading at one point! Retail investors remain bullish, and Wall Street is optimistic about doubling growth in Q3 results.

Ahead of its latest quarterly earnings report, Bloom Energy (BE.US) shares rose more than 5% in pre-market trading on Monday at one point. The market expects its quarterly results to highlight its rapid growth in powering AI infrastructure, while retail investors are betting that Thursday's earnings release could revive the stock's momentum. Bloom Energy shares plunged 21% last week, marking their worst weekly performance in nearly four months, as the semiconductor and AI sectors suffered a broader selloff. Chinese chipmaker ChangXin Memory Technologies' next-generation memory plans triggered market concerns about intensifying competition, weighing on the broader AI trade and spilling over into Bloom Energy's data center power business. Despite this, Wall Street's growth expectations for the company have still raised market attention on its earnings. Truist is bullish on Bloom Energy's third-quarter performance, driven primarily by solid year-over-year demand, continued positive business momentum, and improving profitability. The brokerage raised its price target from $218 to $240, implying about 2% upside from the current share price, while maintaining a "Hold" rating. The firm said Bloom Energy's current valuation has largely reflected long-term growth value. The price target increase mainly stems from stronger-than-expected near-term demand, and higher per-project equipment configuration is expected to push up average product prices. According to Fiscal.ai data, analysts generally expect third-quarter revenue to grow about 104% year over year, from $519.05 million in the year-ago period to $1.06 billion; adjusted earnings per share (EPS) to rise from $0.15 to $0.70. EBITDA is expected to reach $249.29 million, compared with $59.26 million in the year-ago period. According to Koyfin data, on a sequential basis, analysts expect revenue to grow 0.6% to about $1.07 billion, while adjusted EPS is expected to decline about 14% to $0.67. EBITDA is expected to fall 5.1% to $240.55 million. Bloom Energy achieved billion-dollar revenue for the first time in the previous quarter, with sales of $1.065 billion and adjusted EPS of $0.78. The company also raised its full-year revenue guidance to $3.9 billion to $4.2 billion and its adjusted EPS guidance to $2.55 to $2.85. Tech giants' computing power supply needs put Bloom Energy in the market spotlight As AI computing demand grows, Bloom Energy's fuel cells can help data center operators quickly add on-site power. The system uses an electrochemical process to generate electricity from natural gas without combustion. Last week, American Electric Power Company, Inc. (AEP.US) announced plans to invest about $4 billion in a 702-megawatt project near Cheyenne, Wyoming, using Bloom Energy's technology. Alphabet Inc. Class C (GOOGL.US) will sign a 20-year power purchase agreement to buy electricity from the project. Construction is expected to begin this year, with the facility fully operational by the end of 2028. Oracle Corporation (ORCL.US) also reiterated that Bloom Energy's fuel cell microgrid will remain the primary power source for New Mexico's "Project Jupiter." Its proposed agreement with El Paso Electric will provide power for later-stage construction, initial commissioning, and emergency backup. Oracle Corporation said: "Our plans are unchanged." Previously, Bloom Energy and Bruker Corporation Field Asset Management (BAM.US) reached an agreement in June to expand the financing framework for AI infrastructure power projects from $5 billion to $25 billion. On social investment platform Stocktwits, although posting volume remained at normal levels, retail sentiment toward Bloom Energy over the past week was generally bullish.