Bloom Energy Faces a Split Screen: Crusoe Pause and S&P 500 Ambitions

Bloom Energy shares slid 7.85% after a key partner halted a data center project, but the stock retains optimism from AI deals and potential S&P 500 inclusion.

Bloom Energy finds itself caught between two powerful currents this week. A key data-center partner has pressed pause on a massive project, sending shares lower — yet the stock retains an undercurrent of optimism fueled by index-inclusion dreams and surging AI-driven demand.

The fuel-cell maker’s stock dropped 7.85% on Wednesday to €205.50, paring a rally that has still delivered a breathtaking 985% gain over the past 12 months. The trigger: Crusoe Energy has halted development of a 1.8-gigawatt data center campus. Market observers had anticipated that Bloom’s technology would supply roughly 900 megawatts of that capacity, making the slowdown a direct hit to its growth pipeline.

BMO Capital Markets analysts cautioned that such delays could weigh on future capacity utilization, even if contractual protections offer some buffer. Still, the bank maintains an “Outperform” rating with a $279 price target, viewing the overall 2026 outlook as resilient. The pause, it argues, does not fundamentally undermine Bloom’s order book.

Index Inclusion Remains on the Horizon

Offsetting the near-term gloom is mounting speculation about a place in the S&P 500. Bloom Energy’s market capitalization has stabilized near $70 billion, and the company recently cleared a critical GAAP profitability hurdle on a rolling four-quarter basis. That combination puts it squarely in the conversation for the next index rebalancing.

The financials back the case. In its fiscal first quarter, Bloom reported revenue of $751 million, up 130.4% year over year, and net income of $70 million. Earnings per share of $0.44 beat analyst estimates. Management reiterated its full-year 2026 guidance of $1.85 to $2.25 per share, a signal that internal targets remain unchanged despite the Crusoe hiccup.

Analysts Diverge on Valuation

Not everyone is convinced the stock’s price is justified. Morningstar calls the shares significantly overvalued after a rally that topped 1,000% in a year. Technically, the stock is now trading below its 20-day moving average, and the relative strength index of 42.8 points to a recent loss of momentum — though not yet oversold territory. Over the past seven days, the stock has shed roughly 17% from its record high of €282.

Political and Commercial Tailwinds

Two broader forces continue to back Bloom’s story. US trade policy provided a surprise boost: industrial metal tariffs were cut from 25% to 15% in early June, lowering the cost of the hardware that houses its fuel cells. And the AI boom shows no sign of abating. Bloom has locked in multi-billion-dollar contracts with Oracle, covering up to 2.8 gigawatts of capacity, and with the Nebius Group for on-site power. These deals cement a revenue foundation that extends well beyond any single project delay.

For now, the market is weighing a single canceled milestone against a cascade of long-term opportunities. The next clear signal will be whether management can keep delivering on its earnings forecast — and whether the index committee eventually invites Bloom to the S&P 500 floor.