Bloom Energy Corp (BE) Stock Analysis
Bloom Energy Corp (BE) Stock Analysis
Analysis from 10-Q filed 2025-10-28. Data as of Q4 2025.
Overall Grade: F (Concerning)
Bloom Energy Corp faces challenges in financial performance that warrant careful analysis.
| Metric | Value | Context |
|---|---|---|
| ROIC | 3.8% | Below expectations |
| FCF Margin | 2.8% | Cash flow pressure |
| Debt/Equity | 3.4x | Elevated debt |
Investment Thesis: Financial metrics indicate concerning business quality with areas requiring attention.
Explore Bloom Energy Corp: Earnings History | Filing Intelligence | ROIC Analysis
Profitability: Bloom Energy Corp earns 3.8% ROIC, Bottom 50% in Technology
Bloom Energy Corp's trailing-twelve-month ROIC of 3.8% ranks Bottom 50% in Technology companies (sector median: 5.0%), driven by NOPAT margin of 3.7% combined with asset turnover of 0.7x. Source: 10-Q filed 2025-10-28. Gross margin of 29.0% with operating margin at 3.6% reflects a competitive pricing environment.
| Metric | BE | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 3.8% | Red flag | Below sector median of 5.0% |
| Return on Equity (ROE) | -14.0% | Red flag | Moderate equity returns |
| Gross Margin | 29.0% | Adequate | Competitive pricing environment |
| Operating Margin | 3.6% | Warning | Moderate operational efficiency |
Cash Flow: Bloom Energy Corp generates $57.1M FCF at 2.8% margin, positive NaN/8 quarters
Bloom Energy Corp generated $57.1M in free cash flow (TTM), a 2.8% FCF margin, a margin that ranks Bottom 50% in Technology. FCF was positive in N/A of the last 8 quarters. Source: 10-Q filed 2025-10-28.
| Metric | BE | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 2.8% | Warning | Thin cash margins |
| Free Cash Flow (TTM) | $57.1M | Good | Positive cash generation |
| OCF/Net Income | -1.3x | Warning | Potential accrual concerns |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: Bloom Energy Corp at 3.4x leverage
Bloom Energy Corp's debt-to-equity ratio of 3.4x reflects high leverage. Total debt of $2.6B offset by $2.5B in cash. Source: 10-Q filed 2025-10-28.
| Metric | BE | Rating | Context |
|---|---|---|---|
| Debt to Equity | 3.4x | Red flag | Elevated leverage |
| Net Cash Position | $-140.5M | Adequate | Net debt position |
Valuation: Bloom Energy Corp trades at 0.3x earnings
Bloom Energy Corp trades at a P/E of 0.3x. Free cash flow yield of 0.3% reflects market expectations for growth.
| Metric | BE | Rating | Context |
|---|---|---|---|
| P/E Ratio | 0.3x | Adequate | Reasonable valuation |
| EV/Sales | 10.5x | Warning | Growth premium priced in |
| FCF Yield | 0.3% | Warning | Lower cash yield |
| Dividend Yield | 0.0% | Adequate | Growth focus over income |
Capital Allocation: Bloom Energy Corp returns 0.0% shareholder yield
Bloom Energy Corp's total shareholder yield is 0.0% (dividends 0.0% + buybacks). Source: 10-Q filed 2025-10-28.
| Metric | BE | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 0.0% | Adequate | Dividend + buyback yield combined |
| Total Capital Returned (TTM) | $1.0M | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 3.8% | Bottom 50% | 0.8x below |
| Free Cash Flow Margin | 2.8% | Bottom 50% | 0.3x below |
| Gross Margin | 29.0% | Bottom 25% | 0.6x below |
| Operating Margin | 3.6% | Bottom 50% | 0.8x below |
| Return on Equity (ROE) | -14.0% | Bottom 50% | -2.7x below |
| P/E Ratio | 0.3x | N/A | - |
Financial Scorecard
| Metric | BE | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 3.8% | Red flag | Bottom 50% of sector (median: 5.0%) |
| Free Cash Flow Margin | 2.8% | Warning | Bottom 50% of sector (median: 8.5%) |
| Gross Margin | 29.0% | Adequate | Bottom 25% of sector (median: 51.1%) |
| Debt to Equity Ratio | 341.1% | Red flag | High financial leverage |
| P/E Ratio (Price-to-Earnings) | 31.1% | Adequate | Attractively valued |
| Free Cash Flow Yield | 0.3% | Red flag | Growth-focused valuation |
Frequently Asked Questions
Q: What is Bloom Energy Corp's Return on Invested Capital (ROIC)?
Bloom Energy Corp (BE) has a trailing twelve-month Return on Invested Capital (ROIC) of 3.8%. This compares below the sector median of 5.0%. An ROIC below 8% suggests the company may be destroying shareholder value.
Q: What is Bloom Energy Corp's Free Cash Flow Margin?
Bloom Energy Corp (BE) has a free cash flow margin of 2.8%, generating $57.1 million in free cash flow over the trailing twelve months. A thin FCF margin may indicate heavy reinvestment or operational challenges.
Q: Is Bloom Energy Corp stock overvalued or undervalued?
Bloom Energy Corp (BE) trades at a P/E ratio of 0.3x, which is above the sector median of N/A. The EV/Sales multiple is 10.5x. Free cash flow yield is 0.3%, reflecting growth expectations priced into the stock.
Q: Does Bloom Energy Corp pay a dividend?
Bloom Energy Corp (BE) currently pays a dividend yield of 0.0%. Including share buybacks, the total shareholder yield is 0.0%. The relatively low yield suggests the company prioritizes growth reinvestment over income distribution.
Q: How much debt does Bloom Energy Corp have?
Bloom Energy Corp (BE) has a debt-to-equity ratio of 3.4x with total debt of $2.6 billion. Net debt position is $140.5 million.
Q: What is Bloom Energy Corp's revenue and earnings growth?
Bloom Energy Corp (BE) grew revenue by 37.3% year-over-year. Earnings per share decreased by 47.2% compared to the prior year. Double-digit revenue growth indicates strong demand and market share gains.
Q: How does Bloom Energy Corp compare to competitors in Technology?
Compared to other companies in Technology, Bloom Energy Corp (BE) shows: ROIC of 3.8% is below the sector median of 5.0% (Bottom 47%). FCF margin of 2.8% trails the sector median of 8.5% (Bottom 33% of sector). Gross margin at 29.0% is 22.1 percentage points lower than sector peers. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with Bloom Energy Corp?
Investors in Bloom Energy Corp (BE) should monitor these potential warning signs: 1) FCF margin is thin at 2.8%, leaving limited buffer for economic downturns. 2) Debt-to-equity of 3.4x is elevated. Regular monitoring of SEC filings and quarterly trends is recommended.
Data Source: Data sourced from 10-Q filed 2025-10-28. TTM metrics as of Q4 2025.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.