Ballard Power Systems (NASDAQ:BLDP) Announces Earnings Results

Ballard Power Systems (NASDAQ:BLDP) (TSE:BLD) issued its earnings results on Friday. The technology company reported ($0.07) EPS for the quarter, missing analysts’ consensus estimates of ($0.04) by ($0.03), Zacks reports. The company had revenue of $20.34 million during the quarter, compared to analyst estimates of $25.24 million. Ballard Power Systems had a negative net margin of 78.60% and a negative return on equity of 13.48%.

Here are the key takeaways from Ballard Power Systems’ conference call:

• Ballard agreed to acquire GeoPura for £275 million, expanding into hydrogen power units, hydrogen production, and energy-as-a-service. Management expects the deal to accelerate growth, broaden the addressable market, and generate approximately $25 million in annual run-rate EBITDA synergies by 2028, subject to regulatory approval and an anticipated second-half 2026 closing.
• GeoPura’s integrated rental-and-fuel model is expected to provide recurring, higher-margin revenue and capture substantially more value per deployed megawatt than standalone fuel-cell engine sales. Ballard also sees expansion opportunities in North America, data centers, construction, events, and heavy-duty mobility.
• Q2 revenue rose 15% year over year to $20.6 million, while gross margin improved to 20% from negative 8% and operating expenses fell 34%. Adjusted EBITDA loss narrowed to $9.8 million from $30.6 million, and operating cash usage declined to $11.4 million from $20.3 million.
• Quarterly order intake exceeded $64 million, supported by transit-bus orders and a multi-year commitment for more than 150 fuel-cell modules for GeoPura. Ballard ended the quarter with more than $502 million in cash and said it has no near-term financing requirements.
• Management reiterated its goal of reaching profitability by the end of 2027 but provided no specific revenue, net income, or margin guidance, citing the early stage of market development. Full-year revenue is expected to remain approximately 60% back-half weighted, with operating expenses of $65 million to $75 million and capital expenditures of $5 million to $10 million.

Ballard Power Systems Stock Down 4.3%

Shares of Ballard Power Systems stock opened at $2.67 on Friday. The stock has a 50-day simple moving average of $4.01 and a 200-day simple moving average of $3.23. Ballard Power Systems has a 52-week low of $1.70 and a 52-week high of $6.57. The firm has a market cap of $804.95 million, a price-to-earnings ratio of -9.89 and a beta of 2.25. The company has a debt-to-equity ratio of 0.03, a current ratio of 10.70 and a quick ratio of 9.90.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the stock. TD Cowen lifted their price objective on shares of Ballard Power Systems from $2.50 to $4.25 and gave the company a “hold” rating in a research note on Wednesday, May 6th. National Bank Financial set a $4.75 price objective on shares of Ballard Power Systems and gave the company a “sector perform” rating in a research note on Wednesday, June 24th. Susquehanna cut their target price on Ballard Power Systems from $4.25 to $3.50 and set a “neutral” rating for the company in a research report on Friday, July 10th. Zacks Research raised Ballard Power Systems from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, July 22nd. Finally, ATB Cormark Capital Markets boosted their price target on shares of Ballard Power Systems from $3.50 to $4.30 and gave the stock a “sector perform” rating in a research report on Wednesday, May 6th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, ten have assigned a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $3.52.

Institutional Trading of Ballard Power Systems

Several large investors have recently modified their holdings of BLDP. Legal & General Group Plc grew its stake in shares of Ballard Power Systems by 2.5% in the third quarter. Legal & General Group Plc now owns 13,459,729 shares of the technology company’s stock worth $36,486,000 after acquiring an additional 326,505 shares during the last quarter. Two Sigma Investments LP increased its holdings in Ballard Power Systems by 11.7% in the 3rd quarter. Two Sigma Investments LP now owns 6,282,641 shares of the technology company’s stock valued at $17,089,000 after buying an additional 657,107 shares during the period. Invesco Ltd. raised its stake in shares of Ballard Power Systems by 48.6% in the 4th quarter. Invesco Ltd. now owns 4,968,824 shares of the technology company’s stock valued at $12,621,000 after buying an additional 1,625,542 shares in the last quarter. Goldman Sachs Group Inc. lifted its holdings in shares of Ballard Power Systems by 20.3% during the 1st quarter. Goldman Sachs Group Inc. now owns 4,916,541 shares of the technology company’s stock worth $5,408,000 after acquiring an additional 829,012 shares during the period. Finally, CANADA LIFE ASSURANCE Co boosted its position in shares of Ballard Power Systems by 1.7% during the 3rd quarter. CANADA LIFE ASSURANCE Co now owns 2,766,262 shares of the technology company’s stock valued at $7,580,000 after acquiring an additional 45,379 shares in the last quarter. 28.02% of the stock is owned by institutional investors.

Ballard Power Systems Company Profile

Ballard Power Systems (NASDAQ:BLDP) is a Canadian technology company specializing in the development and manufacture of proton exchange membrane (PEM) fuel cell products. Headquartered in Vancouver, British Columbia, Ballard designs and sells fuel cell stacks and modules that enable zero-emission power generation for a variety of applications, including heavy-duty motive systems, backup power, material handling equipment, and portable power solutions.

Since its founding in 1979, Ballard has built a strong intellectual property portfolio and a track record of innovation in PEM fuel cell technology.