Stem's Q2 2026: Revenue Slips 12% but Adjusted EBITDA Jumps 63%; Full-Year Guidance Reaffirmed
STEM is trading near its 52-week low of $4.92 (14% above the low).
Summary
Stem posted Q2 2026 revenue of $33.7 million, down 12% year-over-year, while adjusted EBITDA rose 63% to $6.2 million. Full-year 2026 guidance was reaffirmed.
Key Events · Earnings and Guidance · STEM
-
Q2 Revenue Declines 12%
Total revenue came in at $33.7 million, down from $38.4 million in Q2 2025, as lower battery hardware resales and reduced managed services revenue weighed on the top line.
-
Adjusted EBITDA Up 63%
Adjusted EBITDA reached $6.2 million, up from $3.8 million in Q2 2025, marking the fifth consecutive quarter of positive adjusted EBITDA.
-
Net Loss of $14.4 Million
The company reported a net loss of $14.4 million, compared to net income of $202.5 million in Q2 2025, which had included a one-time gain on debt extinguishment.
-
Full-Year Guidance Reaffirmed
Management reaffirmed 2026 guidance: revenue of $140-$190 million, adjusted EBITDA of $10-$15 million, and operating cash flow of $0-$10 million.
Analysis · STEM · Technology
Stem's second-quarter results paint a mixed picture. Revenue fell 12% year-over-year to $33.7 million, yet adjusted EBITDA climbed 63% to $6.2 million—the fifth straight quarter in positive territory. Management's decision to reaffirm full-year 2026 guidance signals confidence in the software-centric strategy. Still, a net loss of $14.4 million and a cash balance of $38.4 million underscore persistent financial pressures. With the stock at $5.60 and a market cap near $48.8 million, this small-cap name can see sharp moves on earnings details.
At the time of this filing, STEM was trading at $5.60 on NYSE in the Technology sector, with a market capitalization of approximately $48.8M. The 52-week trading range was $4.92 to $32.23. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.