FuelCell Energy (FCEL) Outlook Raised by TD Cowen Amid 12% Revenue Growth

FuelCell Energy, Inc. (NASDAQ:FCEL) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 19, TD Cowen boosted its price target for FuelCell Energy, Inc. (NASDAQ:FCEL) to $9 from $7, while keeping a Hold rating on the stock following the fourth-quarter fiscal results. The company’s revenue increased by 12% year-over-year, indicating a favorable trend. On the other hand, FuelCell Energy’s backlog fell 4% quarter-over-quarter, from $1.24 billion to $1.19 billion, and its gross loss increased sequentially.

FuelCell Energy, Inc. (NASDAQ:FCEL) reported higher EBITDA margins in Q4 as cost-cutting efforts began to take impact and product revenues were achieved. The company also reached around $55 million in revenue in the fourth quarter of 2025, which was driven by the supply of 10 modules to GGE under a long-term service agreement.

This comes as FuelCell Energy, Inc. (NASDAQ:FCEL) targets data center opportunities and is currently in active negotiations with a number of potential clients, though the timeline for converting this interest into confirmed orders is unknown.

FuelCell Energy, Inc. (NASDAQ:FCEL) is a clean energy company. It develops, manufactures, and deploys stationary fuel cell and electrolysis platforms for the production of hydrogen. The company’s LTSA approach improves reliability for high-demand industries like data centers by guaranteeing round-the-clock monitoring, technical assistance, and preventative maintenance.

While we acknowledge the potential of FCEL 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 FCEL and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.