10 Best Electrical Equipment Stocks to Buy Now

4. Bloom Energy Corporation (NYSE:BE)

Number of Hedge Fund Holders: 42

Bloom Energy Corporation (NYSE:BE) is a critical player in the electrical equipment industry, specializing in advanced fuel cell technology for on-site power generation. Andrew Percoco, an analyst from Morgan Stanley, maintained a “Buy” rating on the company’s stock, and the associated price target remained same at $35.00. The analyst’s rating is backed by a combination of factors demonstrating the company’s growth potential. Despite some concerns, the analyst is optimistic about the demand for Bloom Energy Corporation (NYSE:BE)’s fuel cell technology, mainly in serving data centers. Notably, this optimism is aided by sustained demand for GPUs and AI investments, which have not slowed down significantly, says the analyst. Elsewhere, BTIG analysts reiterated a “Buy” rating and maintained the price objective of $30.

Bloom Energy Corporation (NYSE:BE)’s resilience in the face of tariff impacts is partly because of its US-centric supply chain. The majority of the company’s material spend is in custom-made components that are unique to the company, giving it control over pricing and sourcing. Furthermore, the company has exhibited confidence in finding cost reductions in a bid to neutralize the impact of tariffs. Overall, the expansion of the electrical equipment industry, mainly because of higher demand for clean and reliable energy solutions, continues to positively affect Bloom Energy Corporation (NYSE:BE)’s growth momentum.

Columbia Threadneedle Investments, an investment management company, released its Q4 2024 investor letter. Here is what the fund said:

“The fund held an out-of-benchmark position in Bloom Energy Corporation (NYSE:BE). The company manufactures and markets solid oxide fuel cells that produce electricity and can provide an alternative source of energy compared to traditional suppliers. Our thesis on Bloom has been that they have the necessary technology to provide a solution to the electricity shortage that overhangs new AI data center builds in the U.S. and around the world. Bloom’s fuel cells plug into a natural gas line that can fit on a data center’s campus without taking up too much real estate, and the company has informed customers they can ramp up power delivery quicker than other energy providers. Bloom partnered with two new clients during the fourth quarter. The first is a continued partnership with existing client SK Eternix in South Korea. The second deal Bloom announced was a partnership with American Electric Power to provide power to their data centers.”