
Stem, Inc (STEM) Stock Forecast & Price Target
Stem, Inc (STEM) Analyst Ratings
Bulls say
Stem Inc. projects a year-end Annual Recurring Revenue (ARR) of $60 million, reflecting a 15% year-over-year increase, which underscores the company's growth in its service segment and improving service margins. The increased focus on recurring software revenue streams has led to a revised valuation approach, highlighting the potential for Stem to achieve meaningful positive EBITDA in the near future. Additionally, the easing of the solar supply chain is expected to enhance revenues from solar monitoring, driven by rising demand for the company's Athena software platform and professional services, which positions Stem favorably for continued growth in the evolving energy landscape.
Bears say
Stem Inc's stock outlook is negatively affected by its reported lower-than-expected GAAP gross margins, which stood at -4.3%, illustrating challenges in profitability. The company has provided disappointing guidance for both software and service revenue, indicating limited growth potential, while its GAAP EPS of -$0.32 fell short of consensus estimates, suggesting a struggle to meet market expectations. Furthermore, the revised EBITDA estimate, which dropped significantly from $20 million to $5 million for 2025, reflects an increasing concern regarding the company's ability to efficiently scale its operations and sales.
This aggregate rating is based on analysts' research of Stem, Inc and is not a guaranteed prediction by Public.com or investment advice.
Stem, Inc (STEM) Analyst Forecast & Price Prediction
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