Bloom Energy (BE) short sellers have made key mistakes on the company's access to the rare-earth mineral scandium and ignore its recent filings showing it has resolved its sourcing constraints, RBC said in a note to investors on Tuesday.

RBC said that the short-sellers' analyses "rely on dated reference material, and fail to appreciate the fact that technology can and does improve."

While Bloom has not publicly disclosed the amount of scandium it uses, recent patents it has filed and academic journal articles suggest with a "high likelihood" that it has reduced its dependency on the mineral, the note said.

"We think there is enough evidence to suggest that short report estimates are likely overstated," the note said. "We also believe there is plenty of lead time to expand capacity."

RBC gave Bloom Energy a rating of "outperform," with a price target of $335 per share.