Yahoo Financeยท2025-09-10 18:00Core Viewpoint - Bloom Energy's shares surged by 18.5% following Oracle's significant guidance announcement, which is expected to positively impact Bloom due to their partnership [1][4]. Group 1: Partnership and Market Impact - Bloom Energy's partnership with Oracle, established in July, allows Bloom to supply energy servers for Oracle's data centers, marking its first direct agreement with a cloud hyperscaler [2][3][9]. - Oracle reported a remarkable 359% increase in remaining performance obligations in its cloud infrastructure business, which enhances the outlook for Bloom as it is likely to provide electricity to these data centers [4][5]. Group 2: Financial Metrics and Valuation - Following the recent stock rally, Bloom Energy is trading at 76.5 times next year's earnings estimates, indicating a high valuation for a low-margin hardware business [7]. - Despite the high valuation, the growth prospects related to artificial intelligence (AI) and Oracle's multiyear guidance suggest potential for Bloom's growth from 2027 to 2030 [7].