# Bloom Energy Stock Tanks 13% — AI Hype Finally Hitting Reality Check?

Bloom Energy (NYSE: BE) shares are getting decimated today, down over 40% from this month's peak. The fuel cell manufacturer was riding high as the go-to play for AI data center power solutions, but the party's over.

Here's what spooked investors: The company just raised $2.2 billion in convertible notes and inked a $5 billion partnership with Brookfield for AI infrastructure. Sounds bullish, right? Wrong. The market's now questioning whether these massive capital commitments will actually generate returns — especially with sector rotation away from growth plays heating up.

There's also the dilution angle. New convertible issuance means existing shareholders get watered down. Classic capital raise playbook that sometimes backfires when momentum shifts.

The silver lining? Bloom's fundamentals aren't broken. Record revenue every quarter last year, and the company still has a solid long-term thesis around solving data center power bottlenecks. Short-term traders are panicking, but if you're playing the infrastructure angle, this dip might be noise rather than signal.

Bottom line: Sector sentiment is brutal right now, but the underlying problem (data centers needing massive power) isn't going away.