Bloom Energy (BE) Stock Drops After Chevron-Microsoft Deal and U.S. Nuclear Push

TLDR

• Bloom Energy stock dropped as much as 13% after hitting an all-time high the previous day
• A Chevron-Microsoft deal to use natural gas turbines for a Texas data center signaled Bloom faces real competition
• The U.S. Department of Energy announced $17.5 billion in financing to support nuclear energy, adding another alternative
• Bloom’s most recent quarterly earnings beat expectations hard — $0.44 EPS vs $0.12 estimated, with revenue up 130.4% year-over-year
• The consensus analyst rating remains “Moderate Buy” with a price target of $224.36, well below where the stock was trading

Bloom Energy (BE) has had a remarkable run in 2026, climbing 275% year to date and touching an all-time high on June 22. Then came Tuesday.

Bloom Energy Corporation, BE

The stock gapped down sharply at the open on June 23, falling from a prior close of $345.85 to an opening of $309.35. It was still trading around $322.97 by early afternoon, with over 2.4 million shares changing hands — heavy volume for a stock with an average daily volume of 10.6 million.

Two separate pieces of news gave investors reason to question how dominant Bloom Energy’s position in the AI data center power market really is.

The first was a deal between Chevron and Microsoft. The two companies announced a partnership to supply natural gas turbines to power a West Texas data center project, starting in 2028 and running for 20 years. That’s a long-term commitment — and it doesn’t involve Bloom.

The second hit came from the U.S. Department of Energy, which announced $17.5 billion in loan financing to help revitalize the country’s nuclear supply chain. The goal: get 10 large-scale nuclear reactors under construction by 2030.

Neither announcement is a direct blow to Bloom’s business. But both reinforced the same message — the AI data center energy market won’t be a one-company story.

Strong Fundamentals, But a Stretched Valuation

Bloom’s actual financial results have been strong. In its most recent quarterly report (April 28), the company posted $0.44 EPS against a $0.12 consensus estimate — a $0.32 beat. Revenue came in at $751 million, versus the expected $540 million, up 130.4% year-over-year. For the full year 2026, Bloom has guided for EPS of $1.85 to $2.25.

That kind of earnings growth is hard to argue with. But the stock has run so far that the valuation math gets tricky. The consensus analyst price target sits at $224.36 — the stock was trading more than 40% above that before Tuesday’s drop.

Morgan Stanley has an “overweight” rating with a $310 price target. JPMorgan also rates it “overweight” with a $267 target. Bernstein recently initiated with a “Market Perform.” Mizuho’s target is $285.

Insider Selling Has Been Picking Up

One detail that’s been in the background: insiders have been selling. Director Mary K. Bush sold 25,000 shares at $266.96 on May 7. Insider Aman Joshi sold 10,000 shares at $135.88 on April 1. Over the last quarter, insiders sold a combined 230,274 shares worth roughly $58.7 million.

Institutional investors still own 77% of the stock, and several funds added new positions in Q1.

The stock’s beta sits at 3.74, reflecting just how volatile this name has been — and continues to be.

As of Tuesday afternoon, BE was trading around $340.77, down approximately 5.2% on the day, with a market cap of $92 billion.

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