A $10,000 investment made in Bloom Energy (BE -0.40%) just three years ago would be worth about $161,250 today, an eye-popping 152% annualized total return. I missed that run-up, thinking Bloom Energy was more hype than substance. While I made a mistake once, I don't plan to repeat it, as I still want to buy the hydrogen stock despite its massive run-up.

Image source: Getty Images.

Bloom Energy is becoming the standard for on-site AI power

Bloom Energy's advanced fuel cells have gone from a potentially promising technology to the standard for on-site AI power in just a few years, evidenced by its recent deals. In June 2025, Bloom collaborated with Oracle to deliver onsite power to one of its data centers in 90 days. Bloom announced earlier this year that it took just 55 days to complete the initial deployment, prompting Oracle to significantly expand the strategic partnership. Meanwhile, it signed a $5 billion strategic AI partnership with Brookfield Asset Management last October, only for Brookfield to expand it fivefold to $25 billion this June. It also recently expanded its relationship with an AI infrastructure supplier, another growth catalyst for the company. Robust demand for its fuel cells is driving blistering revenue growth (up 165% in the second quarter to over $1 billion) and increased profitability.

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NYSE: BE

Bloom Energy

Today's Change

(-0.40%) $-0.94

Current Price

$236.22

Key Data Points

Market Cap

$70BMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary.

Day's Range

$233.44 - $253.31

52wk Range

$40.56 - $351.28

Volume

143.4K

Avg Vol

14.3M

Gross Margin

31.22%

While I've been watching Bloom this whole time, I couldn't get past its valuation. At its peak, Bloom's market cap was over $90 billion, putting it at more than 35 times sales. Its valuation has since come off those levels due to the recent sell-off in AI-related stocks. It currently trades at about 17 times forward sales and has a market cap of more than $70 billion. Though that's not as cheap as it had been during the deepest part of the AI slump.

I wanted to capitalize on that sell-off, but couldn't due to trading restrictions. However, as soon as they lift, I plan to buy a small starter position and potentially write put options to purchase more shares at an even more attractive level.