Bloom Energy Surges Past Palantir in Growth Potential

Bloom Energy and Palantir are two 'story stocks' in the tech sector that have significant future growth potential. Both companies have seen rapid growth over the past three years, with Bloom's shares increasing by 1,320% and Palantir's shares rising by 1,110%. However, analysts believe that Bloom has more room to run due to its lower valuation.

Bloom Energy is a leading provider of solid oxide fuel cells (SOFCs), which convert natural gas, propane, biogas, or pure hydrogen into electricity through an electrochemical process. This cleaner and faster approach to generating power makes SOFCs appealing to large tech companies that need to quickly expand their infrastructure for cloud computing and AI applications.

Companies such as Oracle, CoreWeave, Nebius, and Equinix use Bloom's SOFCs in their data centers, while Brookfield Asset Management is funding the construction and deployment of its fuel cell systems through a strategic partnership. Bloom's total backlog reached $20 billion at the end of 2025, with analysts expecting revenue to grow at a 70% CAGR from 2025 to 2028.

Palantir, on the other hand, provides software that helps clients unify their siloed data and make better-informed decisions. Its Gotham platform serves government clients, including U.S. military and law enforcement agencies, while its Foundry platform serves commercial customers such as Apple, Amazon, and Walmart.

Palantir's revenue is expected to grow at a 58% CAGR from 2025 to 2028, with adjusted EBITDA growing at a 72% CAGR. However, Palantir trades at a higher valuation than Bloom, with an enterprise value of $406 billion compared to Bloom's $59 billion.