8 Best Industrial Stocks To Buy According to Analysts

6. Bloom Energy Corporation (NYSE:BE)

Number of Hedge Funds: 29

Analyst Upside Potential: 63.22%

Bloom Energy Corporation (NYSE:BE) is a green energy company that specializes in innovative energy solutions through advanced technology. The company operates by manufacturing two main products, including the Bloom Energy Server and Bloom Electrolyzer.

Bloom Energy Server is a type of power generator that uses solid oxide fuel cell (SOFC) technology. This technology allows it to convert various fuels, such as natural gas, biogas, and hydrogen, directly into electricity without combustion.

On the other hand, Bloom Electrolyzer complements the Energy Server by producing hydrogen. It utilizes the same solid oxide technology to convert electricity into hydrogen, which can then be used as a clean fuel source.

The competitive edge of the company comes from its indispensable position as a clean energy company for artificial intelligence and data centers. According to a report published by Reuters on May 29, 2024, data centers could use 9% of US electricity by 2030. This means that the demand for clean energy companies would rise and Bloom Energy Corporation (NYSE:BE) is set to capitalize on this growing demand.

During the second quarter of fiscal 2024, the company reported to have grown its revenue by 11.5% year-over-year to $335.8 million. The company also improved its gross margins by 1.7% to 20.4% during the quarter. Moreover, it has already started entering into agreements with AI companies for instance during the second quarter earnings release management announced that it has agreed with CoreWeave, a leader in AI, to power a data center in Volo, Illinois.

29 hedge funds had stakes in Bloom Energy Corporation (NYSE:BE) during Q2 2024, making it one of the best industrial stocks to buy according to analysts.