Fervo Energy (NASDAQ:FRVO) Posts Earnings Results, Misses Estimates By $0.29 EPS

Fervo Energy (NASDAQ:FRVO) issued its quarterly earnings results on Wednesday. The company reported ($0.38) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.29), FiscalAI reports. The business had revenue of $0.11 million during the quarter.

Here are the key takeaways from Fervo Energy’s conference call:

• Pipeline expanded significantly: Fervo advanced eight GeoBlocks totaling 400 MW into advanced development, moved 10.5 GW into early development, and increased its geothermal mineral rights to more than 650,000 acres. Signed PPAs now total 658 MW, representing a $7.2 billion revenue backlog.
• Cape Station remains on schedule: Mechanical completion was achieved for GeoBlocks 1 and 2, with first power from GeoBlock 1 targeted for Q4 2026 and GeoBlocks 2 and 3 expected to begin producing in early 2027. Management raised its 2030 installed-capacity expectation to 1.1 GW from 1 GW.
• Drilling performance continues to improve: The Sawtooth 7 well reached nearly 19,500 feet and 460°F in a record 21 days, while the hotter, longer Fervo 3.0 design is expected to generate more power per well at lower cost. Management continues to target approximately $5,500 per kilowatt for Cape Phase II, with a long-term goal of $3,000 per kilowatt.
• 2027 revenue may be constrained by transmission curtailments: Fervo expects $60 million to $80 million of revenue in 2027, though it emphasized this is not formal guidance. Potential curtailments related to another asset being added to the transmission network could reduce revenue despite the company’s projects operating as expected.
• Capital spending and losses remain substantial: Second-quarter net loss was $55.9 million, while capital expenditures reached $226.5 million; Fervo expects another $850 million to $900 million of capital spending in the second half of 2026. The company had $2.1 billion in cash following its May Nasdaq listing, which raised approximately $2.04 billion in net proceeds.

Fervo Energy Trading Up 5.4%

NASDAQ FRVO traded up $1.10 on Friday, hitting $21.42. 803,330 shares of the company’s stock traded hands, compared to its average volume of 3,320,676. Fervo Energy has a 1-year low of $16.89 and a 1-year high of $42.65. The stock’s 50-day moving average price is $27.81.

Analyst Ratings Changes

Several research firms recently issued reports on FRVO. Piper Sandler reiterated an “overweight” rating on shares of Fervo Energy in a report on Tuesday, June 23rd. HC Wainwright reissued a “buy” rating on shares of Fervo Energy in a research note on Wednesday, May 27th. Guggenheim upgraded shares of Fervo Energy to a “strong-buy” rating and set a $48.00 price target for the company in a research note on Monday, June 8th. Zacks Research raised shares of Fervo Energy to a “hold” rating in a research report on Tuesday, June 9th. Finally, Barclays increased their price target on shares of Fervo Energy from $47.00 to $48.00 and gave the stock an “overweight” rating in a report on Wednesday, June 24th. Two investment analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $44.00.

Institutional Trading of Fervo Energy

An institutional investor recently bought a new stake in Fervo Energy stock. Ranger Investment Management L.P. purchased a new position in shares of Fervo Energy Company (NASDAQ:FRVO) in the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund purchased 49,772 shares of the company’s stock, valued at approximately $1,455,000.

Fervo Energy Company Profile

Fervo Energy Company is a geothermal energy developer, builds, owns and operates geothermal power facilities. Fervo Energy Company is based in Houston, Texas.