Stem (NYSE:STEM) Stock Rating Lowered by Wall Street Zen

Stem (NYSE:STEM) was downgraded by investment analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research note issued to investors on Saturday.

Separately, Weiss Ratings cut shares of Stem from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, February 11th. Three equities research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Reduce” and an average price target of $20.00.

Stem Stock Performance

Shares of NYSE:STEM opened at $12.12 on Friday. The business’s 50-day simple moving average is $14.79 and its 200 day simple moving average is $17.09. The company has a market cap of $101.69 million, a P/E ratio of -1.28 and a beta of 1.30. Stem has a one year low of $5.81 and a one year high of $32.23.

Stem (NYSE:STEM) last released its quarterly earnings results on Wednesday, March 4th. The company reported ($1.85) earnings per share for the quarter, topping analysts’ consensus estimates of ($1.96) by $0.11. The company had revenue of $47.14 million during the quarter, compared to analysts’ expectations of $39.05 million. Analysts predict that Stem will post -0.52 earnings per share for the current year.

Institutional Investors Weigh In On Stem

Hedge funds have recently bought and sold shares of the business. Balyasny Asset Management L.P. acquired a new position in shares of Stem in the 4th quarter valued at approximately $177,000. Bridgeway Capital Management LLC boosted its stake in shares of Stem by 346.2% during the 4th quarter. Bridgeway Capital Management LLC now owns 69,600 shares of the company’s stock valued at $1,047,000 after buying an additional 54,000 shares during the last quarter. Trexquant Investment LP acquired a new stake in shares of Stem during the fourth quarter worth approximately $385,000. Jump Financial LLC acquired a new stake in shares of Stem during the fourth quarter worth approximately $534,000. Finally, Mangrove Partners IM LLC acquired a new stake in shares of Stem during the fourth quarter worth approximately $272,000. Institutional investors and hedge funds own 61.63% of the company’s stock.

More Stem News

Here are the key news stories impacting Stem this week:

• Positive Sentiment: Q4 & full‑year 2025 results showed a revenue beat and margin improvement; Stem reported record gross margins and its first-ever positive adjusted EBITDA, signaling improving unit economics and operational leverage. Stem Announces Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Company commentary and analyst pieces highlight a strategic shift toward higher‑margin software & services (a SaaS-style recurring revenue model), which could support valuation expansion if execution and churn metrics remain strong. Stem Inc.: Deciphering the SaaS Pivot and Strategic Realignment
• Positive Sentiment: Earnings-call coverage emphasizes a “profitability pivot” with improving cash flows and margin trends — investors looking for durable margin expansion may view this as the key takeaway. Stem, Inc. Earnings Call Marks Profitability Pivot
• Neutral Sentiment: FY‑2026 revenue guidance was updated to a wide $140M–$190M range (consensus ≈ $167M). The range leaves room for upside but also creates near‑term uncertainty about the pace of the SaaS transition and growth cadence. Earnings report & slides
• Neutral Sentiment: Q4 EPS remained a loss (narrower than estimates) and analysts still expect negative EPS for the current fiscal year (-0.52 consensus), so the company is in a transition phase from cash-burning hardware to recurring software revenue. MarketBeat STEM overview
• Neutral Sentiment: Full Q4 earnings-call transcript is available for detail on margin drivers, backlog, and the cadence of software bookings — active investors should review management’s answers on retention, ARR conversion and capex. Q4 2025 Earnings Call Transcript
• Negative Sentiment: Insider selling was reported (small sales by executives/shareholders disclosed in Form 4 filings), which can be interpreted negatively by some investors even if amounts are modest. SEC Form 4 – Insider Sales

About Stem

Stem, Inc is a technology company specializing in AI-driven energy storage and optimization solutions for commercial, industrial and utility customers. The company delivers integrated hardware and software systems that enable clients to manage energy consumption, reduce peak demand charges and provide ancillary services to the power grid. By combining battery storage hardware with advanced machine-learning algorithms, Stem helps organizations align energy usage with cost-saving opportunities while supporting grid reliability and renewable integration.

At the core of Stem’s offering is its Athena software platform, which uses real-time data and predictive analytics to forecast energy needs and automatically dispatch stored energy when it is most valuable.