Google’s New Energy Project Gives Eos Energy a Key Technology Validation

On September 2, MN8 Energy, Eos Energy Enterprises, Inc. (NASDAQ: EOSE), and Alphabet Inc. (NASDAQ:GOOGL) s Google announced a collaboration to provide clean, round-the-clock energy resources to the PJM grid. This marks an important validation for Eos Energy's long-duration battery technology. Analyst Stephen Gengaro reiterated a Buy rating on the stock with a $9.00 price target, viewing the collaboration positively despite its small initial project.

Eos Energy will supply a 10MW/100 MWh Z3 battery, adding long-duration energy storage to support data centers. This technology could deliver dependable capacity for more hours of the day, benefiting AI data centers that demand longer-lasting energy sources. Eos' Chief Commercial Officer, Nathan Kroeker, emphasized the company's focus on deploying long-duration storage and addressing grid reliability challenges.

During Q2, Eos reported a revenue of $68.8 million, a 351% year-over-year increase, a record backlog of $807 million, and a $24.6 billion commercial opportunity pipeline as of June 30, 2026. However, the company remains far from profitability, with a $48.8 million gross loss in Q2 compared to $31.0 million in the prior year. Gengaro noted that the initial project is small and will start operating in 2030, with the solar component beginning in 2028 and lithium-ion storage in 2029.

The company's revenue guidance for 2026 has been tightened to $300 million to $350 million, down from the previous range of $300 million to $400 million. Hedge fund interest in both Eos and Alphabet has grown, with 45 hedge funds holding positions in Eos and 275 in Alphabet as of Q2. Overall, the EOS-Google-MN8 collaboration is a positive for all three companies, providing technology validation for Eos Energy's long-duration storage technology.