STEM - Stem rated new Outperform at Cowen on differentiated software platform

Stem ( NYSE: STEM ) -6.1% in Thursday's trading despite winning bullish coverage from Cowen, which initiated the stock with an Outperform rating and $22 price target, citing the company's unified Athena platform, "which is designed to not only manage storage assets, but also incorporate other forms of generation like solar and meet the growing needs for EV charging."

Stem ( STEM ) "has taken an early lead in the energy storage space, leveraging its Athena software platform, and is well positioned to capture demand both in front of and behind the meter applications," Cowen analyst Thomas Boyes said.

Boyes also sees potential for additional longer-term upside, driven by commercial electric vehicle charging, international expansion, and solar+storage, adding the company's upcoming analyst day on September 28 as the stock's next catalyst.

Stem ( STEM ) has 2.1 GWh and 32.1 GW of storage and solar assets under management, respectively, which should help to drive higher contracted annual recurring driven beyond the $58M reported in Q2, Boyes said.

Stem ( STEM ) is one of the companies that will benefit from the new Inflation Reduction Act, but it has a long way to go before hitting profitability, InvestOhTrader writes in an analysis posted recently on Seeking Alpha .

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