Eos Energy Stock Plunged 61% in February. What's Next?

By Neha Chamaria – Mar 9, 2026 at 4:04PM ESTKey PointsEos Energy isn't worried about its survivability anymore.Its backlog is growing, and so is revenue.

Eos Energy Enterprises (EOSE +1.06%) saw an explosive rally from 2024 to 2025, climbing 951% to a 52-week peak of $19.86 per share on Nov. 10, 2025. The stock has now fallen below $6 a share, with February alone wiping out 61.1% of its value, according to data provided by S&P Global Market Intelligence. It was a quiet month for the zinc-based battery energy storage systems (BESS) maker until Feb. 26, when it released its fourth-quarter and full-year 2025 results. Eos Energy's revenue exploded, and the company has also resolved its cash problem for now. The stock still plunged, because everything's not as rosy as it appears. Image source: Getty Images.

Why Eos Energy stock fell despite a huge quarter Eos Energy's backlog hit $701.5 million, representing 2.8 gigawatt-hours (GWh), and Q4 revenue jumped 700% year over year to a record $58 million. The biggest driver was the completion of the company's subassembly automation at its Turtle Creek facility, allowing Eos Energy to move from manual to automated processes. By the end of 2025, Eos Energy expanded its annual production capacity to 2 GWh, a massive leap from 2024 when it was barely producing at a commercial scale. With automation online, Eos Energy's customer deliveries jumped nearly 600% in Q4, driving its revenue higher. Most importantly, management no longer doubts the company's ability to continue as a "going concern" since Eos Energy raised over $1 billion in Q4 and exited 2025 with $625 million in cash. If everything's so good, what went wrong with the stock? ExpandNASDAQ: EOSEEos Energy EnterprisesToday's Change(1.06%) $0.07Current Price$6.20Key Data PointsMarket Cap$2.1BDay's Range$5.79 - $6.2052wk Range$3.07 - $19.86Volume906KAvg Vol22MGross Margin-12594.85% Eos Energy missed its own revenue targets and reported a net loss of nearly $970 million for the full year on $114 million in revenue. Management blamed non-cash items, including fair value accounting, debt retirement charges, and stock-based compensation. Management's guidance of $300 million-$400 revenue for 2026 also fell short of the consensus. Eos Energy stock crashed after earnings. Analysts at Guggenheim also removed their $20 price target on the stock, citing management's struggles with financial forecasting and communication as a challenge to the stock's valuation.

Is Eos Energy a good stock to buy? Analysts have a consensus price target of $10.75 per share on Eos Energy, implying nearly 75% upside from the stock's closing price of March 6. In early March, insiders, including CEO Joe Mastrangelo and director Alex Dimitrief, also bought shares of Eros Energy. That could be seen as a signal that they believe the sell-off in Eos Energy was overdone, given the company's prospects. Eos Energy's backlog appears to be heading in the right direction, driven by demand from the commercial, industrial, and utility sectors. However, Eos Energy is only just getting started and remains a speculative play as it works to stabilize its cash position while navigating the complexities of its automated manufacturing lines and building its top line.Read NextMar 4, 2026 •By Howard SmithWhy Did Eos Energy Stock Pop Today?Feb 26, 2026 •By Neha ChamariaWhy Eos Energy Stock Is Plunging Today Despite a Record 700% Revenue GrowthOct 21, 2025 •By Joe TenebrusoWhy Eos Energy Stock Jumped TodayOct 13, 2025 •By Neha ChamariaWhy Eos Energy Stock Soared Over 20% Today to a 52-Week HighOct 10, 2025 •By Eric VolkmanWhy EOS Energy Soared Again This WeekOct 8, 2025 •By Neha ChamariaHere's Why Eos Energy Stock Soared Over 100% in 5 WeeksAbout the AuthorNeha Chamaria is a contributing Motley Fool stock market analyst covering energy, industrials, utilities, and materials sectors, with a focus on dividend stocks. Prior to The Motley Fool, Neha worked on portfolio valuations for hedge funds at HSBC and authored articles as a journalist. She holds a master’s degree in finance from ICFAI and an MBA from Symbiosis University, along with certifications from the National Stock Exchange of India. Neha was honored with an all-India gold medal for her M.S. in Finance and was the first woman in her family to pursue a professional career.TMFNehaChamariaX@nehamschamariaStocks MentionedEos Energy EnterprisesNASDAQ: EOSE$6.20(+1.06%)+$0.07*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.