Soumya Eswaran
4 min read
In This Article:
Columbia Threadneedle Investments, an investment management company, released its “Columbia Seligman Global Technology Fund” first quarter 2025 investor letter. A copy of the letter can be downloaded here. During the first period, the U.S. equity market declined and underperformed compared to its global developed-market counterparts. The fund’s Institutional Class shares returned -12.71% in the quarter, compared to –11.93% return for the MSCI World Information Technology Index-Net. In addition, you can check the fund’s top 5 holdings for its best picks for 2025.
In its first-quarter 2025 investor letter, Columbia Seligman Global Technology Fund highlighted stocks such as Bloom Energy Corporation (NYSE:BE). Bloom Energy Corporation (NYSE:BE) engages in the design, manufacture and installation of solid-oxide fuel cell systems for on-site power generation. The one-month return of Bloom Energy Corporation (NYSE:BE) was 18.20%, and its shares gained 65.64% of their value over the last 52 weeks. On June 25, 2025, Bloom Energy Corporation (NYSE:BE) stock closed at $21.60 per share, with a market capitalization of $5.016 billion.
Columbia Seligman Global Technology Fund stated the following regarding Bloom Energy Corporation (NYSE:BE) in its Q1 2025 investor letter:
"The fund held an off-benchmark position in Bloom Energy Corporation (NYSE:BE), which manufactures solid oxide fuel cells that produce electricity and provide an alternative, non-traditional source of energy. Our investment thesis on Bloom is that its technology offers a solution to the electricity shortage that overhangs new AI data-center construction in the U.S. and around the world. Bloom’s fuel cells plug into a natural gas line that fits on a data center’s campus without taking up much real estate, and the company can ramp up power delivery quicker than other energy providers. Bloom’s stock price bounced back after moving lower following the DeepSeek announcement. A concern was that if companies could develop AI models that use fewer chips and therefore less energy, the need for more energy to power data centers could wind down. Despite Bloom’s stock price bouncing back in February, the stock ultimately moved lower during the quarter due to volatility at the end of March, in line with the majority of the equity market."
A bird's eye view of a power generation platform with a power plant in the background.
Bloom Energy Corporation (NYSE:BE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 44 hedge fund portfolios held Bloom Energy Corporation (NYSE:BE) at the end of the first quarter, which was 42 in the previous quarter. In the first quarter of 2025, Bloom Energy Corporation (NYSE:BE) generated revenue of $326 million, reflecting a 39% year-over-year increase. While we acknowledge the potential of Bloom Energy Corporation (NYSE:BE) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.
