Bloom Energy vs. Eos Energy Enterprises: Which Power Stock Is a Better Buy in 2026?

Deciding where to allocate capital in the energy transition requires weighing established scale against high-growth potential. You might consider Bloom Energy (NYSE:BE) or Eos Energy Enterprises (NASDAQ:EOSE) as you build your 2026 portfolio.

Bloom Energy provides solid oxide fuel cells for onsite power, while Eos Energy Enterprises specializes in long-duration zinc batteries. Both companies aim to solve reliability and storage challenges for utilities and industrial customers, yet they operate at vastly different stages of commercial maturity.

The case for Bloom Energy

Bloom Energy sells solid oxide fuel cells that generate electricity onsite without combustion, targeting high-demand users like data centers and utilities. It currently maintains high-profile partnerships with American Electric Power (NASDAQ:AEP) and Oracle (NYSE:ORCL) to provide clean power for artificial intelligence infrastructure. A significant $25 billion financing framework with Brookfield Asset Management (NYSE:BAM) further supports the deployment of its onsite power systems at scale.

In FY 2025, revenue reached $2.0 billion, which represented growth of 37.3% over the previous fiscal year. The company reported a net loss of roughly $88.4 million for the period, resulting in a net margin of negative 4.4%. This performance indicates that while the company is generating substantial revenue, it has yet to reach consistent bottom-line profitability.

As of its December 2025 balance sheet, the debt-to-equity ratio was approximately 3.9x. This metric measures total debt against shareholder equity, where a higher number suggests a company relies more heavily on borrowed funds. The current ratio, which compares short-term assets to liabilities to measure liquidity, was roughly 6.0x, and the company generated free cash flow of approximately $57.2 million.

The case for Eos Energy Enterprises

Eos Energy Enterprises produces zinc-based battery systems designed for long-duration energy storage among industrial stocks. The company focuses on utility and commercial applications, recently finalizing an exclusive supply agreement with CAPAC Energy for the European market. Note that customer concentration is high, as two individual customers accounted for roughly 70.3% of total revenue in fiscal 2025.

During FY 2025, revenue climbed to nearly $114.2 million, a massive increase from the roughly $15.6 million reported in the prior year. Despite this rapid expansion, the company recorded a net loss of approximately $969.6 million. This resulted in a net margin of negative 849.1%, reflecting the significant costs associated with scaling its manufacturing operations and technology.

Based on the December 2025 balance sheet, the debt-to-equity ratio was roughly -1.0x. This negative value indicates that total liabilities exceed shareholder equity. The current ratio, which helps investors understand if a company can cover its near-term debts, was approximately 4.9x, while free cash flow was negative at nearly $265.0 million for the year.

Risk profile comparison

Bloom Energy faces intense competition from traditional grid providers and alternative onsite power equipment like gas turbines. The company is currently working to reach a 2 GW factory capacity by 2026, which involves significant execution risk and reliance on specialized suppliers. Furthermore, its growth is heavily tied to the expansion of AI data centers, meaning any slowdown in that sector could reduce demand for its fuel cells.

Eos Energy Enterprises is scaling production at its Turtle Creek facility, a process that carries risks regarding product quality and manufacturing efficiency. The company also faces securities class action lawsuits alleging it made misleading statements about its production capacity and guidance. Additionally, Eos must compete on price against established lithium-ion battery manufacturers like Tesla (NASDAQ:TSLA) that benefit from much larger economies of scale.

Valuation comparison

Eos Energy Enterprises appears cheaper based on forward P/E, which uses future earnings estimates, while Bloom Energy carries a higher P/S ratio.

Sector benchmark uses the SPDR XLI sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Which stock would I buy in 2026?

Bloom Energy has become a darling of the AI infrastructure boom, as its fuel cells help address strained electrical grids that supply energy for rapidly growing data center compute capacity. But the promise of the technology and strong demand has already been priced into the stock.

Eos Energy’s long-duration zinc batteries offer another solution through its energy storage technology. Both companies seek to address the AI energy bottleneck, giving them massive market opportunities.

Eos just formed Frontier Power USA, an autonomous development and investment firm founded alongside private equity firm Cerberus, to construct, own, and manage a diverse array of long-duration battery energy storage projects using Eos battery technology.

Eos expects revenue to approximately triple this year, so it is growing faster than Bloom, though off a smaller base. I would be buying this growth over Bloom’s backlog at this time. Bloom’s valuation has grown too fast. Its forward P/S ratio is over 20, while Eos's is just about 6. That makes Eos the better buy this year.

Howard Smith has positions in Tesla. The Motley Fool has positions in and recommends Bloom Energy, Brookfield Asset Management, Oracle, and Tesla. The Motley Fool has a disclosure policy.