FuelCell Energy (FCEL) shares rose more than 10% during Tuesday pre-market trading. Canaccord Genuity upgraded the stock to Buy from Hold.
Analyst George Gianarikas raised the price target to $30 from $12. The new target implies a nearly 100% upside from the previous closing price.
The upgrade reflects conviction that FuelCell will soon secure a deal to supply clean power technology to data centers. Canaccord analysts indicated that a transformative data center agreement is within reach.
The firm believes this expansion represents a major strategic and financial turning point for the company.