FuelCell Energy (FCEL) has reported better-than-expected results for the third quarter of Fiscal Year 2021 on the back of robust top-line growth. The company engages in the provision of fuel cell power plant production and research.

Q3 revenues climbed 43% year-over-year to $26.8 million and surpassed analysts’ expectations of $20.7 million. The upside can be attributed to an increase in service agreements and license revenues due to more module exchanges during the quarter.

Meanwhile, the company's net loss of $0.04 per share also came lower than the Street’s estimated loss of $0.05. The figure compares favorably with the loss of $0.07 in the same quarter last year. (See FuelCell stock charts on TipRanks)

The company reported a backlog of $1.30 billion as of July 31, 2021, compared to $1.33 billion as of July 31, 2020, reflecting the continued execution of backlog and adjustments to generation backlog.

The President and CEO of FuelCell, Jason Few, said, “We made progress in advancing our inflight projects and combined with an increase in our investment in commercial capabilities and research and development activities, we believe we are positioning FuelCell Energy for long-term growth and sustainable commercial success.”

In June, Wells Fargo analyst Praneeth Satish reiterated a Sell rating on FuelCell and lowered the price target to $8 from $9. The new price target implies 24.2% upside potential from current levels.

The stock has a Moderate Sell rating based on 4 Hold and 2 Sell. The average FuelCell price target of $9 implies 39.8% upside potential from current levels. Shares have lost 39.3% so far this year.

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The post FuelCell Posts Strong Q3 Results appeared first on TipRanks Financial Blog.

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By: Radhika Saraogi
Title: FuelCell Posts Strong Q3 Results
Sourced From: blog.tipranks.com/fuelcell-posts-strong-q3-results/
Published Date: Wed, 15 Sep 2021 06:37:32 +0000

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