Bloom Energy Corp's stock surged 5.13% during intraday trading on Tuesday, continuing its positive momentum from pre-market sessions.

The significant price movement follows the company's disclosure of a landmark $2.6 billion fuel cell capacity agreement with European AI infrastructure provider Nebius. Under the contract, Nebius will pay monthly service fees to purchase capacity and electricity generated by Bloom Energy's solid-oxide fuel cell systems, with the project expected to provide approximately 250 megawatts of guaranteed capacity and 328 megawatts of installed capacity over three phases, each with a 10-year term.

Adding to the bullish sentiment, Daiwa Securities upgraded Bloom Energy from Hold to Outperform and raised its price target from $98 to $324, citing the deal's validation of the company's technology as a critical power solution for AI data centers facing electricity constraints. This agreement builds on Bloom Energy's previous success with a 2.8GW order from Oracle, reinforcing its position in the AI infrastructure power supply market.