Shares of Bloom Energy (BE 8.08%) plunged 19.5% this week through 11:40 a.m. ET Friday, according to data provided by S&P Global Market Intelligence. There’s no company-specific news, but updates from a customer are rattling investors in the hydrogen stock and compelling some to take some profits off the table.
Image source: Getty Images.
If a customer is spending more, why is Bloom Energy stock falling?
Bloom Energy’s hydrogen fuel cell energy servers provide clean, reliable, and uninterrupted power onsite, making them a strong choice for artificial intelligence (AI) infrastructure and hyperscale data centers that require round-the-clock power for their gigantic servers and cooling systems. Bloom Energy counts some of the world’s biggest names among its customers, including tech giants and cloud companies.
In July 2025, Oracle (ORCL 3.38%) chose Bloom Energy to deploy its fuel-cell technology at some data centers in the U.S. in 90 days. In October, Bloom Energy signed a $5 billion partnership with Brookfield Asset Management to build AI factories powered by its fuel-cell servers.
The AI and data center infrastructure buildout is undeniably one of the biggest growth opportunities for Bloom Energy. So, when Oracle’s fiscal 2026 second-quarter revenue missed estimates this week and it posted a negative free cash flow (FCF) of $13 billion for the trailing four quarters, versus a positive FCF of $9.5 billion for the comparable period in 2024, the tech stock sank. So did shares of Bloom Energy.
Today’s Change
(-8.08%) $-8.81
Current Price
$100.18
Key Data Points
Market Cap
$26B
Day’s Range
$94.24 – $107.10
52wk Range
$15.15 – $147.86
Volume
12M
Avg Vol
15M
Gross Margin
33.24%
Oracle’s capital expenditures more than tripled to over $35 billion in the trailing four quarters as it expanded its data center infrastructure.
But wait.
Isn’t higher spending on data centers a good thing for Bloom Energy?
It certainly is, but Oracle’s cash burn has stoked fears of an AI bubble, as many believe these companies are going too far and will soon be forced to cut back on their capex soon. Sure enough, a couple of days after Oracle’s earnings release, Bloomberg reported that the tech giant is delaying some of its data centers for OpenAI to 2028 from 2027.
Don’t panic
The fall in Bloom Energy’s stock price this week shouldn’t come as a surprise. With shares skyrocketing this year, investors found a reason to book some profits after Oracle’s earnings announcement and the Bloomberg report.
None of it, however, changes the long-term investing thesis for Bloom Energy. The truth is, the AI infrastructure buildout could just be getting started, as hyperscalers and cloud computing companies continue to invest more and more money in data centers. Moreover, Bloom Energy’s technology has a place in nearly every industry, not just data centers.