Bloom Energy (BE +6.37%) shares are surging today. The stock is 25% off its all-time high reached in late October. That's when the company announced a timely capital raise, and the stock subsequently sold off.
Investors are back, though, buying into a company that has an answer to the question of how tech companies are going to power artificial intelligence (AI) data center infrastructure. Shares jumped as much as 10.7% today, and remained higher by 8.5% as of 10:52 a.m. ET.
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Is this the end of the Bloom Energy stock sell-off?
Bloom stock took off this year as investors realized its fuel cell technology could supply desperately needed on-site power to AI data centers. After hitting an all-time high of about $142 per share in late October, though, shares plunged when the company announced it would raise fresh capital. The stock is now about 25% below that record high. That was an opportune time to offer convertible bonds, though, as the company continues to boost production with demand surging.
Today, investors are shrugging off one insider sale that was just reported, as spending on AI infrastructure appears to continue. Chief commercial officer Aman Joshi reported a 15,000 share sale in a securities and exchange commission (SEC) filing yesterday. While Joshi sold shares at a price below $100, he still held more than 200,000 shares following the transaction.
NYSE: BE
Key Data Points
Insiders sell shares for many reasons, including personal portfolio management, estate planning, or to fund expenses. That seems to be why investors aren't reading much into this most recent insider sale. Instead, the bulls appear to be back as the runway for the needed power supply for data centers looks to be a long one.
