Bloom Energy's price target has been increased by UBS to $33 from $21, with a Buy rating on the shares. This adjustment comes after Bloom announced a significant supply agreement with American Electric Power (AEP), which includes an order for 100 megawatts of fuel cells. This order is the largest commercial procurement of fuel cells worldwide. The agreement also allows for potential expansion orders in 2025.

UBS suggests that this deal could open the door for similar contracts with AEP and other utility companies. Bloom Energy is well-positioned to take advantage of the growing demand for electricity-intensive computing resources, particularly in data centers and AI applications.

The potential for expansion orders in 2025 and the growing demand for electricity-intensive computing resources make Bloom Energy's supply agreement with AEP a significant milestone. This deal not only solidifies Bloom's position in the fuel cell market but also paves the way for future partnerships with other utility companies. With its expertise in providing sustainable energy solutions, Bloom Energy is poised to capitalize on the increasing need for efficient power sources in the digital age.