Why Bloom Energy Rocketed 36% Higher This Week
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Bloom Energy has a solution to the problem of powering data centers, and it's ready now.Bloom Energy (BE +9.89%) shareholders are having a banner week. The stock of the fuel cell manufacturer has been soaring to start 2026. This week alone, shares rose 36%, according to data provided by S&P Global Market Intelligence. That's because an arrangement announced in November 2024 was just updated to add another approximately $2.65 billion for Bloom's solid-oxide fuel cells to provide power to data centers. Image source: Getty Images. Bloom is becoming a go-to power provider As tech companies increasingly invest more to build data centers for artificial intelligence (AI) compute power, the need to power those server racks is also growing. Bloom Energy's solid-oxide fuel cells, which can supply on-site power without risking disruptions to the power grid, have become a growingly desirable option. Bloom's platform technology is ready now. It's not a future aspiration like some modular nuclear reactor options. Bloom states that estimates for growing electricity needs may increase by 60% by 2030. Data centers and electrification in transportation are significant contributors to the issue. Bloom has been announcing partnerships over the last year that will utilize its microgrid fuel cell platform. This week, an existing partnership with American Electric Power expanded significantly.Advertisement ExpandNYSE: BEBloom EnergyToday's Change(9.89%) $12.05Current Price$133.89Key Data PointsMarket Cap$29BDay's Range$121.55 - $136.7852wk Range$15.15 - $147.86Volume565KAvg Vol14MGross Margin33.24% In 2024, a subsidiary of AEP executed a purchase agreement to acquire 100 megawatts (MW) of solid oxide fuel cells from Bloom with an option to buy an additional 900 MW. A large portion of that option is being exercised for Bloom's solid oxide fuel cells. It calls for the development and construction of a fuel cell generation facility at a cost of approximately $2.65 billion. Investors jumped into Bloom stock on that news this week, assuming that more deals may be announced as the need to power data centers grows. Read NextJan 8, 2026 •By Scott LevineWhy Shares of Bloom Energy Are Rocketing Higher TodayJan 8, 2026 •By Howard SmithBloom Energy Was on Fire in 2025 -- and the Real Life-Changing Growth May Still Be AheadJan 6, 2026 •By Howard SmithWhy Did Bloom Energy Stock Crash 20% in December?Jan 1, 2026 •By Courtney CarlsenBetter Energy Stock to Own in 2026: Bloom Energy or Oklo?Dec 25, 2025 •By Courtney CarlsenForget Plug Power: This Fuel Cell Powerhouse Looks Ready to Ignite a New Wave of HypergrowthDec 24, 2025 •By Steven PorrelloCan Bloom Energy Stock Beat the Market in 2026?About the AuthorHoward Smith is a contributing Motley Fool stock market analyst covering technology and industrial stocks. Prior to The Motley Fool, Howard spent nearly 30 years supervising quality and operations in the steel industry, mostly with leading steel company Nucor. He holds a bachelor’s degree in metallurgical engineering from Lafayette College and a master’s degree in environmental engineering from Johns Hopkins University.TMFBuilt2LastStocks MentionedBloom EnergyNYSE: BE$133.89 (+0.10%) $+12.05American Electric PowerNASDAQ: AEP$116.91 (+0.01%) $+0.98*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.Advertisement