In the one year through Jan. 21, 2026, Eos Energy Enterprises (EOSE 4.50%) shares surged nearly 217%. After that massive run-up, investors seemed primed to lock in gains at the first sign of a plateau.
Eos Energy stock lost all its energy today, plunging nearly 43% at its low in trading as of noon Thursday.
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Eos Energy's loss widens with revenue
Eos Energy builds zinc-based battery energy storage systems (BESS) and reported its fourth quarter and full-year 2025 numbers this morning. Demand is so strong that Eos Energy's order backlog rose 9% sequentially in Q4, and the company pegs its potential commercial pipeline at $23.6 billion.
Above all, Eos Energy's revenue surged 700% year over year in Q4 to a record $58 million as it moved from a start-up mode to a commercial BESS provider in 2025, bagging new orders and ramping up capacity and production.
So why is the stock still falling off the cliff?
NASDAQ: EOSE
Key Data Points
Turns out, analysts were expecting much larger revenue growth (yes, even 700% fell well short of estimates). To top that, Eos Energy reported a huge net loss in Q4 and for the full year, exiting 2025 with a net loss of nearly $970 million on revenue of only $114 million. Non-cash items were to blame for the massive losses.
Eos Energy's guidance for 2026 also fell short of expectations, with the company projecting revenue of $300 million to $400 million.
Should you buy Eos Energy stock now?
Eos Energy raised over $1 billion in the fourth quarter alone through a mix of debt and stock and restructured its existing debt, which means the company is in a far better financial position today.
For much of the last two years, Eos Energy burned through cash rapidly to build its automated production lines, raising fears that it might run out of money before it could scale. Eos Energy had issued "going concern" warnings in 2022.
With its Q4 results, management has officially put all concerns to rest by stating that "substantial doubt regarding the company's ability to continue as a going concern no longer exists."
I'd take that as a sign to keep an eye on this stock and watch the company's progress over the next few quarters, especially on margins and cash, before buying it.
