Mizuho downgraded Bloom Energy Corp. (NYSE: BE) from Outperform to Neutral while raising its price target to $79.00 from $48.00.

The firm said it increased its DCF-based valuation due to improved visibility into demand growth from utility-scale data center orders, highlighting the company's ~900-MW project in Wyoming as an early-stage signal for capacity expansion needs. However, analysts downgraded the stock, citing production capacity constraints.

Bloom was on track to expand its Fremont facility to 2 GW per year by the end of 2026, with potential to increase to 3 GW annually by 2027 at similar capital expenditure levels, and to 5 GW by 2029 with higher spending. Mizuho estimated equipment sales volume could grow at a 53% CAGR between 2025 and 2030. The firm added that additional growth could come from new facilities or contract manufacturers, but said it would be prudent to wait for a multi-year backlog before committing to new capacity.