Bloom Energy’s October Stock Slump Deepens: Options Signal Post-Earnings Bounce to $230

Bloom Energy (NYSE:BE) stock extended its sharp decline today, falling to its lowest level since September 2. Shares are down 23% this month and 40% from their all-time high. Still, the options market is signaling a potential rebound after the company’s earnings report.

Bloom Energy Stock Has Slumped as Investors Dump AI Winners

Investors have continued selling companies that benefited from the artificial intelligence (AI) boom. This includes semiconductor companies like Marvell Technologies (NASDAQ:MRVL) and Nvidia (NASDAQ:NVDA), and neoclouds like CoreWeave, Nebius, and IREN.

Bloom Energy stock has also slumped because of its exposure to the AI industry, where it has become a major partner to data center companies. Its retreat has continued amid the ongoing woes in New Mexico, where Oracle’s (NYSE:ORCL) Project Jupiter project is facing major legal issues. 

The company will report its third-quarter earnings after the market closes, with analysts expecting strong revenue growth. Benzinga data shows analysts expect revenue to rise 106% to $1.07 billion. Earnings per share are expected to jump from 15 cents in the third quarter of 2025 to 67 cents in the most recent quarter.

Options Market Signals a Potential Rebound 

The options market signals a modest rebound after its earnings report. The company has a put/call volume ratio of 0.66 and a put/call open interest ratio of 0.83. A ratio below 1 signals that the company has more calls than puts. A call gives investors a right but not the obligation to buy an asset at a set price before an expiration date. 

Most call options are concentrated at the $230 strike, followed by $235. A rebound to $230 would be an 8% jump from the current level, while a move to $235 would be a 10% rise. Meanwhile, most put options are concentrated at the $200 strike, 6% below the current level.

Bloom Energy’s post-earnings volatility has increased during the AI boom era. It fell by as much as 15% after its July earnings report and rose by over 25% in April when it released its Q1 earnings. 

Top Wall Street analysts have maintained their bullish outlook on Bloom Energy. Ameet Thakkar, a BMO Capital Markets analyst, hiked his target to $260 this week. Truist Financial’s Christopher Souther hiked from $218 to $240. 

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