| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 12 | — | 17.8x | Bottom tier | |
Growth | 90 | 533.9% | 7.1% | Top tier | |
Quality | 1 | — | 4.5% | Bottom tier | |
Safety | 9 | — | 2.6x | Bottom tier | |
Capital Return | 14 | — | 2.12% | Bottom tier | |
Momentum | 11 | -40.0% | 2.9% | Bottom tier | |
Sentiment | 36 | 5 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Eos Energy Enterprises develops long-duration energy storage systems based on Z3 technology and manufactures them in Pennsylvania within a domestic supply chain. Each product is designed to operate across discharge durations ranging from 2.5 hours to 14 hours, and the company targets energy providers, regulated utilities, data centers, defense facilities, and critical infrastructure. Revenue comes primarily from supplying and deploying storage systems, while the Frontier Power USA model is expected to add long-term service revenue, a minority share of cash flows, and proceeds from future project sales.
In fiscal Q2 2026, Eos reported record revenue of $68.8 million, up 351% year over year and 21% sequentially, with Cube unit deliveries rising 207% and 20%, respectively. Gross loss was $48.8 million, and adjusted gross margin was negative 62%, although this represented the seventh consecutive quarter of margin improvement. Net loss was also $276 million, and adjusted earnings before interest, taxes, depreciation, and amortization loss was $71.4 million, for a negative margin of 104%.
The revenue mix remained highly concentrated in fiscal Q2 2026, as one project that will become part of Frontier Power USA represented approximately 80% of revenue. The company ended the first half of fiscal 2026 with revenue of just under $126 million, exceeding total fiscal 2025 revenue of $114.2 million. Liquidity at quarter-end was $364 million, but continued gross and operating losses show that volume growth has not yet translated into sustainable profitability.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $7.2, within a wide range of $4 to $11 and with a Neutral consensus; the average is above the low end of the 52-week range of $3.01 but well below its high of $19.86. No meaningful price-to-earnings multiple is available because of the losses, so the valuation depends primarily on successfully converting the $807 million backlog into revenue and achieving more than 72 points of targeted margin improvement, while negative margins and customer concentration remain clear reasons for the consensus's caution.
Figures in the text are as of 2026-09-03; the live price is shown at the top of the page.
Eos generated revenue of $68.8 million in fiscal Q2 2026, up 351% year over year and 21% sequentially. First-half revenue reached just under $126 million, exceeding the fiscal 2025 total of $114.2 million. This growth is supported by an $807 million backlog, the 750-megawatt-hour CAPAC agreement, and a $100 million order for the first phase of the Blanquilla project.
Adjusted gross margin was negative 62% in fiscal Q2 2026, although it represented the seventh consecutive quarterly improvement. Management established a path to improve margin by more than 72 percentage points during the twelve months following the August 7, 2026 call, provided that the cost plan is executed and projected production volumes are achieved. The plan includes approximately 25 points from lower material costs, 20 points from conversion, 20 points from project and field services, and eight points from yield improvement.
Thorn Hill represents the automated manufacturing platform on which Eos is relying to reduce unit costs and increase volume. Initial battery cycles on Line 2 were 10% faster and bipolar component cycles were 11% faster than on Line 1, but the new line contributed only 1% of fiscal Q2 2026 production. Management expects consolidating operations at the facility to deliver an additional 10% to 15% reduction in conversion costs, with a payback period of approximately nine months.
As of the August 7, 2026 call, the Eos fleet had completed more than 3.9 million cycles and discharged 6.5 gigawatt-hours of energy. The Z3 fleet alone exceeded 1.1 million cycles and operated at an average round-trip efficiency of 78% within a 20-100-20 state-of-charge range. Field operating durations ranged from 2.5 hours to 14 hours, while peak performance exceeded 90%, but the company is still working to reduce variation among units.
Frontier Power USA uses capital to finance projects, while Eos supplies the storage technology and holds a minority economic interest in the platform. The platform raised $263 million in initial gross proceeds to support the deployment of projects estimated at approximately $1 billion, and it has 1.8 gigawatt-hours under construction or approaching full notice to proceed. The company expects the platform's first projects to enter operation in fiscal Q3 2027, after which Eos's share of profits could appear in other income rather than operating profit.
One project accounted for approximately 80% of fiscal Q2 2026 revenue, and approximately half of the backlog was associated with one entity, increasing concentration risk. Adjusted gross margin remained negative at 62%, and adjusted earnings before interest, taxes, depreciation, and amortization loss was $71.4 million despite strong growth. Achieving fiscal 2026 revenue guidance of $300–350 million also depends on sustaining the June production rate and successfully ramping Thorn Hill to 24/7 operations.
