Core Viewpoint - The article compares Excelerate Energy (EE) and Bloom Energy (BE) to determine which stock is more attractive to value investors [1] Group 1: Zacks Rank and Earnings Outlook - Excelerate Energy has a Zacks Rank of 1 (Strong Buy), indicating a positive earnings outlook, while Bloom Energy has a Zacks Rank of 3 (Hold) [3] - The Zacks Rank emphasizes stocks with recent positive revisions to earnings estimates, suggesting that EE has an improving earnings outlook [3] Group 2: Valuation Metrics - Excelerate Energy has a forward P/E ratio of 17.85, significantly lower than Bloom Energy's forward P/E of 55.90 [5] - EE's PEG ratio is 0.92, while BE's PEG ratio is 1.35, indicating that EE is expected to grow at a more favorable rate relative to its valuation [5] - EE's P/B ratio is 1.49, compared to BE's P/B of 8.32, further highlighting EE's relative undervaluation [6] Group 3: Value Grades - Based on various key metrics, Excelerate Energy earns a Value grade of B, while Bloom Energy receives a Value grade of D [6] - The combination of Zacks Rank and Style Scores indicates that value investors may find EE to be the better investment option at this time [6]

Group 1 - Bloom Energy Corp (NYSE:BE) signed an agreement with American Electric Power (AEP) to provide power solutions to data centers [2] - Since late-November highs, BE has pulled back to its 50% year-to-date level, coinciding with its $5 billion valuation [2] - The pullback aligns with the candle-high following the AEP announcement and its ascending 20-day moving average, indicating potential for a next leg higher in 2025 [3] Group 2 - BE is identified as a contrarian target with relative strength, despite skepticism from analysts, as 11 out of 22 brokerages maintain "hold" ratings [3] - Short interest in BE has reached all-time highs, increasing by 16% in the last 30 days, with bearish bets up 48% in 2024 [4] - 23% of the equity's total available float is now sold short, suggesting ample room for a potential short squeeze [4]

Group 1 - Bloom Energy (BE) is currently outperforming its peers in the Oils-Energy sector, with a year-to-date return of 7.8% compared to the sector average of 3.9% [4] - The Zacks Rank for Bloom Energy is 2 (Buy), indicating strong analyst sentiment and an improving earnings outlook, with a 150.2% increase in the consensus estimate for full-year earnings over the past quarter [3] - Bloom Energy belongs to the Alternative Energy - Other industry, which has an average gain of 1.7% this year, further highlighting its strong performance within this specific area [5] Group 2 - Oil States International (OIS), another stock in the Oils-Energy sector, has also shown solid performance with a year-to-date increase of 4.6% and a Zacks Rank of 2 (Buy) [4][5] - The consensus estimate for Oil States International's current year EPS has risen by 21.4% over the past three months, indicating positive analyst sentiment [5] - The Oil and Gas - Mechanical and Equipment industry, which includes Oil States International, has underperformed with a year-to-date change of -0.3% and a Zacks Industry Rank of 192 [6]

Industry Overview - The global nickel mining industry is projected to reach a revenue of US$83.813 billion by 2030, with a compound annual growth rate (CAGR) of 6.6% from 2023 to 2030 [1] - The growth in end-use industries such as construction, consumer durables, and machinery is driving the demand for stainless steel, which utilizes over two-thirds of the world's nickel [1][2] - The batteries segment is expected to register the fastest CAGR of 7.2% in terms of revenue over the forecast period, as nickel batteries provide cost-effective solutions for higher energy density and storage capabilities [1] Regional Insights - Asia Pacific held the largest revenue share of over 57.0% in 2022, with increased demand from battery manufacturing, automotive, and petrochemicals positively influencing nickel mining activity [2] - Europe is anticipated to register a CAGR of 7.8% over the forecast period, with the EU recognizing nickel as a critical mineral for energy transition and aiming to extract at least 10% of its annual consumption domestically [2] - North America is expected to have the fastest CAGR of 8.1%, driven by the demand for nickel-based products in aerospace and defense, as well as the emphasis on a domestic supply chain for EV batteries [2] Company Developments - First Atlantic Nickel Corp. has launched a research partnership with Colorado School of Mines to explore geologic hydrogen potential in Newfoundland's ophiolite complexes [2][3] - The partnership aims to leverage First Atlantic's exploration data for awaruite nickel deposits while conducting secondary research on geological hydrogen produced during serpentinization [3] - First Hydrogen Corp. has launched a subsidiary, First Nuclear Corp., to advance clean energy through Small Modular Reactors (SMRs), targeting green hydrogen production [8][9] Market Activity - Ballard Power Systems announced a multi-year supply agreement for fuel cell engines totaling approximately 5 MW with Manufacturing Commercial Vehicles, marking continued growth in their relationship [6][7] - Bloom Energy Corporation expanded its collaboration with Equinix, exceeding 100 MW of electricity capacity to support data centers across the U.S. [10][11] - FuelCell Energy and Malaysia Marine and Heavy Engineering signed a Joint Development Agreement to co-develop large-scale hydrogen production systems across Asia, New Zealand, and Australia [12][14]

Company Performance - Bloom Energy (BE) closed at $24.19, down 1.14% from the previous session, underperforming the S&P 500's gain of 0.64% [1] - Over the past month, shares of Bloom Energy have decreased by 3.7%, while the Oils-Energy sector and the S&P 500 have lost 3.15% and 7.69%, respectively [1] Upcoming Earnings - The upcoming earnings disclosure is anticipated, with an expected EPS of -$0.08, reflecting a growth of 52.94% compared to the same quarter last year [2] - Projected revenue for the upcoming quarter is $290.06 million, indicating a 23.27% increase from the previous year [2] Fiscal Year Estimates - For the entire fiscal year, earnings are estimated at $0.38 per share, representing a growth of 35.71%, with revenue projected at $1.74 billion, up 18.24% from the prior year [3] Analyst Forecasts - Recent revisions to analyst forecasts for Bloom Energy are crucial, as they reflect short-term business trends and analysts' confidence in the company's performance [4] Zacks Rank and Performance - The Zacks Rank system, which incorporates estimate changes, currently ranks Bloom Energy at 2 (Buy), with a historical average annual return of +25% for 1 stocks since 1988 [6] - The Zacks Consensus EPS estimate for Bloom Energy has increased by 200% in the past month [6] Valuation Metrics - Bloom Energy has a Forward P/E ratio of 64.39, significantly higher than the industry average of 18.97 [7] - The company also has a PEG ratio of 1.58, compared to the Alternative Energy - Other industry's average PEG ratio of 2.21 [7] Industry Context - The Alternative Energy - Other industry, part of the Oils-Energy sector, holds a Zacks Industry Rank of 64, placing it in the top 26% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]

Group 1 - The focus has shifted towards offshore drilling, supply industry, and shipping, including tankers, containers, and dry bulk [1] - The fuel cell industry is being monitored as it is still in its early stages of development [1] Group 2 - The individual has extensive experience in auditing with PricewaterhouseCoopers before transitioning to day trading nearly 20 years ago [2] - Successfully navigated significant market events such as the dotcom bubble, the aftermath of the World Trade Center attacks, and the subprime crisis [2]

AI Industry Insights - Bill Gates highlighted the revolutionary impact of AI, particularly OpenAI's ChatGPT, which excelled in an AP Bio exam by answering 59 out of 60 questions correctly [1] - Major tech companies, referred to as the "Magnificent 7," are investing heavily in AI, with worldwide AI spending projected to double to $632 billion by 2028, reflecting a compound annual growth rate (CAGR) of approximately 29% [2] Data Center Energy Consumption - The startup costs for AI, including GPUs and data centers, are significant, and energy consumption for data centers is expected to double or triple by 2028 [3] - The US electric grid is nearing capacity, leading to increased demand from data centers, which may force tech companies to source their own energy [3] Regulatory Environment - The recent executive order by President Trump aims to ease regulations for energy producers, addressing the nation's energy supply and infrastructure challenges [4] Bloom Energy Overview - Bloom Energy (BE) utilizes natural gas and other fuels to generate electricity, positioning itself to benefit from the rising natural gas prices and the demand for clean energy solutions [5] - Following a major deal to supply 1 gigawatt of fuel cells to American Electric Power (AEP), BE's shares surged by 59%, indicating strong market interest [6] Market Performance - Bloom Energy has shown relative strength in the market, maintaining stability while peers have faced weakness [8] - Wall Street analysts are optimistic about Bloom Energy's future, with EPS expected to grow by 35.71% in 2025 and 89.21% in 2026 [9] Conclusion - The combination of increasing AI spending and a favorable regulatory environment presents a significant opportunity for Bloom Energy to meet the growing energy demands of AI applications [11]

Core Viewpoint - The rapid electrification of transportation is expected to drive significant growth in the U.S. electric vehicle market, benefiting alternative energy stocks, despite challenges such as rising wind turbine costs and strained U.S.-China relations [1][2]. Industry Overview - The Zacks Alternative Energy industry is divided into two main groups: one focuses on the generation and distribution of alternative energy, while the other is involved in the development and installation of renewable projects [3]. - The industry includes companies providing fuel cell energy solutions, which have gained traction as affordable clean energy options. Global spending on clean energy reached a record $2.08 trillion in 2024, with similar investments anticipated in the coming years [4]. Growth Trends - Wind energy is a key growth catalyst, with land-based wind being the most abundant clean power technology in the U.S. as of 2024, boasting 154.6 gigawatts installed [5]. - The U.S. Energy Information Administration (EIA) projects a 4.5% year-over-year increase in wind generation for 2025, with an expected addition of 7.7 gigawatts of capacity [6]. - The electric vehicle (EV) market is experiencing a boom, with 408,688 EVs registered in Q3 2024, an 8% increase year-over-year. The U.S. EV market is projected to grow at a CAGR of 10.5% from 2025 to 2029 [7][8]. Challenges - Rising costs of renewable installations, particularly due to increased steel prices for wind turbine blades, pose significant challenges for clean energy installers [9]. - The average price of key minerals used in the wind industry has risen by 93% from January 2020 to March 2023, leading to a nearly 50% increase in the levelized cost of electricity for U.S. offshore wind projects since 2021 [10]. - Strained U.S.-China relations could impact the green energy supply chain, as China accounts for up to 90% of refining capacity for rare earth elements essential for green energy products [11]. Market Performance - The Alternative Energy Industry has outperformed both its sector and the S&P 500 over the past year, with a collective stock surge of 47.4% compared to a 1.8% decline in the Oils-Energy sector and a 14.3% gain in the S&P 500 [14]. - The industry is currently trading at a trailing 12-month EV/EBITDA ratio of 4.18, significantly lower than the S&P 500's 17.07 and the sector's 16.25 [15]. Company Highlights - **OPAL Fuels**: Announced five new fuel station services agreements, with a projected 24.3% increase in 2025 sales and a 97.9% improvement in earnings per share [16][17]. - **Expand Energy Corp.**: Reported a 2.7% year-over-year revenue increase to $2 billion in Q4 2024, with a projected 183.8% increase in 2025 sales [18][19]. - **Bloom Energy**: Achieved a 60.4% year-over-year revenue increase to $572.4 million in Q4 2024, with a long-term earnings growth rate of 40.8% [20][21]. - **Constellation Energy**: Reported a 38.1% year-over-year increase in adjusted EPS to $8.67, with a long-term earnings growth rate of 12.5% [22].

Industry Overview - The Zacks Alternative Energy industry is divided into two main groups: one focuses on the generation and distribution of alternative energy, while the other is involved in the development and installation of renewable projects [2] - Global spending on clean energy reached a record $2.08 trillion in 2024, with expectations for similar or increased investments in the coming years, indicating solid growth opportunities for industry participants [2] Key Trends - Wind energy is a significant growth catalyst, with 154.6 gigawatts (GW) installed in the U.S. in 2024, and a projected 4.5% year-over-year increase in wind generation for 2025 [3] - The U.S. electric vehicle (EV) market is expected to grow at a compound annual growth rate (CAGR) of 10.5% from 2025 to 2029, driven by rising electrification and declining battery costs [4] Market Performance - The Alternative Energy Industry has outperformed both its sector and the Zacks S&P 500 composite over the past year, with a collective stock surge of 47.4% compared to a 1.8% decline in the Oils-Energy sector and a 14.3% gain in the S&P 500 [11] - The industry currently trades at a trailing 12-month EV/EBITDA ratio of 4.18, significantly lower than the S&P 500's 17.07 and the sector's 16.25, suggesting potential undervaluation [13] Company Highlights - **OPAL Fuels**: Expected to improve 2025 sales by 24.3% year-over-year, with earnings projected to increase by 97.9% [15][16] - **Expand Energy Corporation**: Anticipated to see a 183.8% increase in 2025 sales, with earnings expected to rise by 298.6% [17] - **Bloom Energy**: Reported a 60.4% year-over-year revenue increase, with a long-term earnings growth rate of 40.8% [19][20] - **Constellation Energy**: Achieved a 38.1% year-over-year increase in adjusted EPS, with a long-term earnings growth rate of 12.5% [22]

The Oils-Energy group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Bloom Energy (BE) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? By taking a look at the stock's year-to-date performance in comparison to its Oils-Energy peers, we might be able to answer that question.Bloom Energy is one of 247 companies in the Oils-Energy group. The Oils-Energy ...