In this article, we will discuss: 9 Best Battery Stocks to Buy Before They Explode.

As AI data centers increase power demand, Goldman Sachs’ Nikhil Bhandari shared his thoughts about power demand in the US and its impact on the demand for batteries. According to the Battery Council International, Uninterruptible Power Supply (UPS) and Battery Energy Storage Systems (BESS) storage systems are helping data centers meet their power demand with data showing that Data center power demand, according to the organization, is forecast to grow at a compounded annual growth rate (CAGR) of 15% from 2023 to 2030, with both UPS and BESS systems playing a key role in the growth.

According to Bandari, Goldman is looking at a 2.6% power demand CAGR growth in the US market for the decade ending in 2030. This is higher than the flat CAGR of the previous decade. He also believes that 40% of the additional demand can be met by the existing system, but if AI demand posts an upside surprise, then US battery demand could grow from 40 to 50 GWh to about 160-170 GWh by 2030.

A battery energy storage. Photo from Eos Energy website

​Our Methodology

After compiling an initial list of battery stocks, we used 1-yr price target estimates on Yahoo Finance to identify stocks for which analysts expect more than 50% upside in the next 12 months, and limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds. All data is as of March 8th.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).

9 Best Battery Stocks to Buy Before They Explode

9. Amprius Technologies Inc. (NYSE:AMPX)

Number of Hedge Fund Holdings: 27

Analyst Upside: 17%

Investment firm B. Riley raised Amprius Technologies Inc. (NYSE:AMPX)’s share price target to $22 from $16 and kept a Buy rating on the shares on March 9th. The update came after the firm’s fiscal fourth quarter and full year 2025 earnings report. In its earnings, Amprius Technologies Inc. (NYSE:AMPX) had reported $25.2 million in fourth-quarter revenue and $44 million in net loss. However, the firm’s revenue marked a 137% annual jump from the year-ago figures of $10.6 million. Similarly, the net loss was a significant improvement over the year-ago quarter’s $9.6 million. For the full year, Amprius Technologies Inc. (NYSE:AMPX) reported $73 million in revenue and $21.5 million in net loss to mark a 202% revenue growth and a 50% net loss improvement.

In February, Amprius Technologies Inc. (NYSE:AMPX) announced a partnership to expand its battery production in the US. On the 3rd, the firm revealed that it had entered into a manufacturing partnership with Nanotech Energy to produce high-performance silicon battery cells.

Amprius Technologies Inc. (NYSE:AMPX) is a lithium-ion battery manufacturer whose batteries are used in aerospace and space applications such as drones and satellites.

8. Energizer Holdings, Inc. (NYSE:ENR)

Number of Hedge Fund Holdings: 19

Analyst Upside: 22%

Banking giant Morgan Stanley raised battery firm Energizer Holdings, Inc. (NYSE:ENR)’s share price target on February 9th. The price target was raised to $24 from $22 while the share rating was maintained at Equalweight. The coverage came after Energizer Holdings, Inc. (NYSE:ENR) reported its earnings for the 2026 first fiscal quarter on February 5th. The results saw the firm report $778 million in revenue and $4.8 million in net loss. Following the earnings, Evercore ISI also discussed Energizer Holdings, Inc. (NYSE:ENR)’s shares. On February 10th, it reduced the share price target to $28 from $30 and kept an Outperform rating on the shares. Evercore ISI pointed out that the battery company could experience a strong rebound in the year’s second half due to expectations about rival firm Duracell’s market presence weakening.

As part of his comments made during the earnings, Energizer Holdings, Inc. (NYSE:ENR)’s CEO Mark LaVigne outlined that his firm would focus on restoring growth, building margins, and returning to the long-term cash flow profile. The firm is one of the largest household and specialty battery companies in the world.

7. QuantumScape Corporation (NASDAQ:QS)

Number of Hedge Fund Holdings: 38

Analyst Upside: 22%

Evercore ISI discussed solid-state battery firm QuantumScape Corporation (NASDAQ:QS)’s shares in late February. The bank kept an In-Line rating for the stock and reduced the share price target to $10 from $12. The development came after HSBC had covered the stock on February 19th. The bank had raised QuantumScape Corporation (NASDAQ:QS)’s rating to Hold from Reduce and cut the share price target to $8.3 from $10.50. As part of the coverage, HSBC outlined that while QuantumScape Corporation (NASDAQ:QS) was progressing with its Eagle Line solid-state battery production, the firm would be better served to provide clarity about contracts and revenue streams.

Eagle Line is the firm’s automated production line for the solid-state lithium-metal cells called QSE-5. QuantumScape Corporation (NASDAQ:QS) inaugurated the Eagle Line pilot at the start of February and outlined that Eagle Line would allow it to ship cells to customers for testing, demonstration, and product integration.

QuantumScape Corporation (NASDAQ:QS) is a solid-state battery designer that caters primarily to the needs of the electric vehicle industry. The firm is headquartered in San Jose, California.

6. Electrovaya Inc. (NASDAQ:ELVA)

Number of Hedge Fund Holdings: 5

Analyst Upside: 25%

At its latest shareholder meeting, Electrovaya Inc. (NASDAQ:ELVA)’s shareholders approved all six directors named by management in an information circular. The directors were Dr. Sankar Das Gupta, Dr. Raj Das Gupta, Dr. James Jacobs, Dr. Carolyn Hansson, Kartick Kumar, and Steven Berkenfeld, and they received 99.82%, 99.92%, 99.33%, 98.71%, 99.32%, and 98.82% of the votes, respectively, for an overwhelming majority. Additionally, shareholders passed two additional resolutions. These included a resolution that increased the amount of options issuable and another that allowed for the domestication of the firm in the United States.

In February, Electrovaya Inc. (NASDAQ:ELVA) also reported its earnings for the first fiscal quarter of 2026. The results saw the firm report $15.5 million in revenue and $0.02 in earnings per share. Both of these figures were an improvement over the year-ago $11.17 million in revenue and $0.01 in loss per share. During the earnings call, Electrovaya Inc. (NASDAQ:ELVA)’s management outlined that the firm intended to expand its manufacturing capacity in Jamestown, New York, and begin commercial deliveries of its high-voltage battery systems.

Electrovaya Inc. (NASDAQ:ELVA) makes and sells lithium-ion batteries, battery management systems, and other products for transportation and storage purposes.

5. Stem, Inc. (NYSE:STEM)

Number of Hedge Fund Holdings: 11

Analyst Upside: 43%

Stem, Inc. (NYSE:STEM) reported its fourth quarter earnings on March 4th. The results saw the firm post $156 million in full-year revenue and $137 million in full-year net income. For the quarter, Stem, Inc. (NYSE:STEM) posted $47 million in revenue, which marked a 15% annual drop. However, the firm’s net loss during the quarter was narrower, as it sat at $16 million compared to the year-ago figure of $51 million. Operationally, Stem, Inc. (NYSE:STEM)’s contracted backlog and annual recurring revenue marked modest growth rates of 2% and 1%, respectively. Following the earnings, Barclays discussed the firm’s shares as it kept a $18 share price target and a Hold rating.

Stem, Inc. (NYSE:STEM) made another important announcement in March when it shared that it had secured an agreement to deploy its energy management system in Germany. The projects cover 100 MWh in combined installation and will be deployed as utility-scale battery energy storage systems in the Kölsa and Elsterwerda regions.

Stem, Inc. (NYSE:STEM) is an energy technology company that provides storage devices and software solutions. Its customers include construction companies, utilities, and others.

4. Eos Energy Enterprises, Inc. (NASDAQ:EOSE)

Number of Hedge Fund Holdings: 32

Analyst Upside: 58.4%

Financial firm B. Riley discussed Eos Energy Enterprises, Inc. (NASDAQ:EOSE)’s shares on the 5th. It cut the share price target to $8 from $12 and kept a Neutral rating on the shares. As part of its coverage, B. Riley discussed the firm’s valuation after its earnings report and pointed out that Eos Energy Enterprises, Inc. (NASDAQ:EOSE) was being driven by an earnings miss and valuation concerns. B. Riley’s coverage came after Guggenheim had discussed the shares on February 27th. The financial firm had pointed out that Eos Energy Enterprises, Inc. (NASDAQ:EOSE) was struggling with investor communication and forecasting. As a result, Guggenheim removed its $20 share price target and cut the rating to Neutral from Buy.

Eos Energy Enterprises, Inc. (NASDAQ:EOSE)’s latest earnings report saw the firm report $0.84 in earnings and $58 million in revenue. Its earnings missed analyst estimates of $0.23, but the revenue missed estimates of $93 million. As part of the release, Eos Energy Enterprises, Inc. (NASDAQ:EOSE)’s management was careful to outline that the firm had expanded its production capacity to a record 2 GWh.

Eos Energy Enterprises, Inc. (NASDAQ:EOSE) is a New Jersey-based company that caters to the needs of large-scale users. Its battery storage customers include utilities and industrial users.

3. ESS Tech, Inc. (NYSE:GWH)

Number of Hedge Fund Holdings: 8

Analyst Upside: 92%

ESS Tech, Inc. (NYSE:GWH)’s share price target was cut to $2.5 from $3.5 by Roth Capital on March 6th. Keeping a Buy rating on the shares, the firm pointed out that the battery company’s operating expenses in its latest financial report were above forecasts, according to The Fly. ESS Tech, Inc. (NYSE:GWH)’s full-year and fourth-quarter 2025 earnings report, released on March 5th, saw the firm report $1.6 million in revenue and $63.4 million in net loss. During the year, the firm’s operating expenses dropped by 33% annually to $29.7 million. For the quarter, ESS Tech, Inc. (NYSE:GWH) reported negative revenue of $1.6 million and a gross loss of $9.6 million.

Earlier this month, ESS Tech, Inc. (NYSE:GWH) also announced a collaboration agreement for its research center in Arizona. The agreement, called Project Horizon, will see the firm, Google, and Salt River Project (SRP) deploy a long-duration energy storage 50 megawatt-hour system that uses the firm’s iron flow Energy Base technology.

ESS Tech, Inc. (NYSE:GWH) is an energy storage company that makes and sells iron flow batteries for large-scale applications such as commercial and utility uses.

2. Enovix Corporation (NASDAQ:ENVX)

Number of Hedge Fund Holdings: 39

Analyst Upside: 217%

Enovix Corporation (NASDAQ:ENVX)’s price target was cut by Craig-Hallum on February 26th. The firm cut the battery company’s price target to $10 from $16 and kept a Buy rating, as per The Fly. Craig-Hallum outlined that while Enovix Corporation (NASDAQ:ENVX) could introduce next-generation batteries in the smartphone industry, investors should also focus on the firm’s production timelines due to troubles with laser dicing. Like Craig-Hallum, analysts at Cannacord Genuity also cut Enovix Corporation (NASDAQ:ENVX)’s share price target on February 26th. They reduced the target to $15 from $21.

As part of its fourth quarter earnings report, Enovix Corporation (NASDAQ:ENVX) reported $11.3 million in revenue for the quarter and $31.8 million for the full year. The firm outlined that it remained focused on qualifying its batteries for an important customer. Additionally, on the topic of volume production, Enovix Corporation (NASDAQ:ENVX) shared that it was focusing on dicing techniques at its factory in Malaysia.

Enovix Corporation (NASDAQ:ENVX) is a lithium-ion battery manufacturer that caters to the needs of the consumer technology and electric vehicle industries.

1. Flux Power Holdings, Inc. (NASDAQ:FLUX)

Number of Hedge Fund Holdings: 2

Analyst Upside: 289%

Flux Power Holdings, Inc. (NASDAQ:FLUX) reported its earnings for the second quarter of 2026 on February 12th. The results saw the firm’s operating expenses sit at $4.1 million while its net income sat at $600,000. In non-GAAP terms, Flux Power Holdings, Inc. (NASDAQ:FLUX)’s net income was $1 million while its revenue was $14.1 million. During the call, the firm’s CEO remarked that his company had achieved profitability for the first time in its history and added that Flux Power Holdings, Inc. (NASDAQ:FLUX) had integrated artificial intelligence tools into its design, development, and daily operations. As for the batteries, the company also introduced a new GAT 315 battery to bring its portfolio of batteries that support airport ground equipment to four products.

Flux Power Holdings, Inc. (NASDAQ:FLUX)’s GSE segment is one of its strongest. In mid-December, the firm announced that it had secured more than $3.6 million in orders to provide the products to an airline. The orders came on top of business from the same customer.

Flux Power Holdings, Inc. (NASDAQ:FLUX) is an energy storage company that provides lithium-ion batteries, battery management systems, and other products.

While we acknowledge the potential of FLUX to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than FLUX and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.