Bloom Energy cleared a long-standing financial hurdle in the first quarter, generating positive operating cash flow for the first time in its history. The milestone came on the back of surging demand from AI data centers — exactly the market the fuel-cell maker has been targeting. But the same boom that drove revenue 130% higher is also stirring up opposition on the ground, and recent insider selling adds another layer of uncertainty.
The shift in cash flow was dramatic. Operating cash flow rose to $73.6 million in the first three months of 2026, compared with a negative $110.7 million a year earlier. Total revenue hit $751.1 million, driven by product sales that more than tripled. Adjusted EBITDA reached nearly $143 million, almost six times the prior year’s level, while non-GAAP earnings per share of $0.44 came in more than three times the consensus estimate of $0.13. The gross margin stood at 31.5%, and the company held $2.5 billion in cash.
A significant contributor was the joint venture with Brookfield, which generated $373.3 million in revenue in the quarter, up from just $2.8 million a year earlier. Management responded by raising the full-year outlook: 2026 revenue is now expected between $3.4 billion and $3.8 billion, gross margin should improve to about 34%, and adjusted EBITDA is forecast at $650 million to $800 million. Non-GAAP EPS is seen in a range of $1.85 to $2.25.
The company’s total backlog stands at $20 billion, including $6 billion in hardware orders. Two large contracts underscore the potential. Bloom is the exclusive power provider for Oracle’s “Project Jupiter” in New Mexico, a 2.45-gigawatt facility that would stretch any conventional grid. Separately, a deal with Nebius could generate up to $2.6 billion in service fees over ten years by supplying 328 megawatts of fuel-cell capacity.
Yet the enthusiasm on Wall Street is tempered by a growing political obstacle. Data center projects are increasingly facing local pushback. In Saline Township, Michigan, a planned $16 billion facility for Oracle and OpenAI is under pressure; its projected electricity demand is equivalent to the entire city of Detroit. Nationwide, researchers have identified 142 opposition groups across 24 states. Twenty-five large data center projects were abandoned in 2025 due to community protests, and nearly 100 more were contested as early 2026 began.
Should investors sell immediately? Or is it worth buying Bloom Energy?
That regulatory friction matters directly for Bloom Energy, whose business model depends on installing fuel cells at data center sites. If permits are denied or delayed, the revenue tied to those installations slides. At a stock price near $302.26 — close to its 52-week high of $322.83 — the market is already pricing in aggressive growth, leaving little room for hiccups.
Meanwhile, the insider trading pattern is giving some investors pause. Over the three months through May, directors and executives sold a total of 525,271 shares, worth roughly $99.2 million. Notable transactions include Director Mary K. Bush selling 25,000 shares at $266.96 each and Chief Accounting Officer Maciej Kurzymski unloading 6,229 shares at $293.36. In mid-May, the chief operating officer, chief commercial officer, and chief accounting officer also sold shares in the $288–$293 range.
Institutional buyers are taking the other side. GeoSphere Capital Management recently added 46,000 Bloom shares to its portfolio, a position valued at about $4 million. Overall, institutions now hold 77.04% of the outstanding stock, signaling strong professional interest despite the insider moves.
Analyst opinions reflect the split. JPMorgan rates Bloom “Overweight” with a $267 target, while Susquehanna lifted its target to $293. On the bearish side, 24/7 Wall St. issued a “Sell” rating with a $207.62 target, citing an enterprise value-to-EBITDA multiple above 660 times and a price-to-book ratio around 80. The consensus from 25 analysts is “Moderate Buy” with an average price target of $250.27, well below the current trading level.
Bloom Energy next reports second-quarter results in July 2026. The key questions will be whether the company can convert its hefty backlog into profitable deliveries and maintain the recently raised margin target. Between local opposition, insider selling, and a valuation that already reflects years of growth, the fuel-cell pioneer now has to prove the bullish narrative can hold up against a thickening headwind.
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