Energy Vault shares jump 11% after Q2 beat, raised guidance

Shares of Energy Vault Holdings Inc. surged 11% in early trading on Thursday after the company reported second-quarter results that exceeded analyst expectations and raised its full-year guidance.

The California-based energy storage provider posted revenue of $12.4 million for the quarter, up 18% year-over-year and above the $11.2 million consensus estimate compiled by Refinitiv. Adjusted net loss narrowed to $8.7 million from $12.1 million in the same period last year, though it still fell short of break-even expectations.

Energy Vault also raised its 2024 revenue guidance to a range of $50 million to $55 million, up from its prior forecast of $45 million to $50 million. The company cited stronger-than-anticipated demand for its gravity-based energy storage systems, particularly in Europe and Asia, as the primary driver behind the upward revision.

Chief Executive Officer Robert Piconi said in a statement that the company is benefiting from accelerating adoption of long-duration energy storage solutions as utilities seek to integrate more renewable energy into their grids. "The revised guidance reflects the robust pipeline of projects we are executing against," Piconi said.

Energy Vault’s technology stores energy by lifting and lowering heavy weights, a method that competes with lithium-ion batteries in grid-scale applications. The company has secured several high-profile contracts in recent months, including a $100 million deal with a European utility to deploy its systems over the next three years.

Analysts at Roth Capital Partners reiterated a Buy rating on the stock following the results, noting that the raised guidance signals confidence in Energy Vault’s ability to scale its operations. The firm maintained a $12 price target, implying additional upside from the stock’s current level.

Energy Vault’s shares closed at $9.20 on Wednesday and were up 11% to $10.21 in pre-market trading on Thursday.