BLDP Stock Forecast & Price Target

Ballard Power Systems Inc. is poised for positive growth, particularly within its Motive segment, as it capitalizes on expected robust demand driven by policy and legislative incentives across key markets, including Poland, the United States, and the United Kingdom. The company's ongoing restructuring efforts have successfully reduced cash operating costs by 27% year-over-year, leading to an anticipated modest positive free cash flow by the second half of 2027. Additionally, the momentum from rail applications has been instrumental in driving high-definition mobility revenues, further solidifying a favorable outlook for the company's financial performance.

Ballard Power Systems is experiencing substantial financial challenges, as evidenced by projections indicating negative earnings per share (EPS) and negative EBITDA for the foreseeable future. The company has seen a significant slowdown in growth, exhibiting a decline in backlog for two consecutive quarters and generating only approximately $6 million in net new orders year-to-date, leading to reduced revenue estimates for FY 2025 and 2026 by 12% and 15%, respectively. Furthermore, with a total order book that declined by 9% quarter over quarter, the outlook for profitability remains uncertain, compounded by various competitive pressures and broader country risks affecting the fuel cell market.