Stem, Inc. (STEM) Stock Price & How to Invest
Last updated July 2026
Short answer
You can invest in Stem (STEM) by buying shares or fractional shares at any major US broker, through a clean-energy or small-cap ETF that holds it, or as one holding in a thematic basket. Stem is an AI-driven clean-energy software company whose platforms (PowerTrack, the renamed Athena, and the AI-enabled PowerBidder Pro trading tool) help owners of battery storage and solar assets optimize, monitor, and monetize those assets across power markets. The single biggest thing to understand is that Stem is a turnaround story: it has pivoted from a lower-margin hardware-resale model toward higher-margin software and services, and after a 1-for-20 reverse split in 2025 to keep its NYSE listing, the thesis rests on whether that software transition can produce durable, profitable growth from a small revenue base.
STEM stock price
As of 2026-07-14, Stem, Inc. (STEM) last closed at $6.65, down 21.5% over the past year. Over the past 52 weeks it has traded between $6.52 and $29.79.
Prices are daily closing prices from Yahoo Finance and may be delayed. For the live quote, check your broker or Stem, Inc.'s investor relations page. Walnut is informational, not investment advice.
What does Stem, Inc. (STEM) do?
Stem, Inc. is a clean-energy technology company that provides AI-driven software and services for battery energy storage and solar assets. Its platforms include PowerTrack (the enterprise optimization and monitoring platform formerly branded Athena) and PowerBidder Pro, an AI-enabled tool that helps asset owners and traders bid storage into wholesale power markets such as ERCOT. The company earns money from software subscriptions, managed and edge-device services, and, historically, hardware resale. Beginning in late 2024, Stem announced a strategic realignment to move away from reliance on low-margin hardware toward a software- and services-led model, aiming to lift gross margins, build recurring revenue, and grow annual recurring revenue (ARR).
The investment picture in mid-2026 is a turnaround in progress from a small base. First-quarter 2026 revenue from software, services, and edge hardware was about $29 million, up modestly year over year, led by roughly 16% growth in PowerTrack software revenue, and the company has pointed to several consecutive quarters of positive adjusted EBITDA. Full-year 2026 guidance framed revenue in the rough range of $140 million to $190 million with modest positive adjusted EBITDA and year-end ARR in the mid-$60-million range. Under CEO Arun Narayanan, Stem cut costs through workforce reductions and consolidated its products into a single PowerTrack stack. In June 2025 it executed a 1-for-20 reverse stock split to regain compliance with the NYSE minimum-price rule and avoid delisting, a reminder that the balance sheet and share price have been under pressure even as the business model shifts.
What's driving Stem, Inc. (STEM)?
1. Software and SaaS transition
The core thesis is Stem's shift from low-margin hardware resale to a software- and services-led model built around PowerTrack and PowerBidder Pro. Software carries higher gross margins and recurring revenue, so success here should lift profitability and build a more predictable base. PowerTrack software revenue grew around 16% year over year in early 2026, and management tracks year-end ARR (guided to the mid-$60-million range) as the key measure of whether the pivot is compounding.
2. Growth in energy storage markets
Stem sits in the fast-growing battery-storage and grid-flexibility market, driven by renewables adoption, grid modernization, and volatile power prices that reward optimized dispatch and market bidding. As more storage comes online, demand for independent software that monitors, optimizes, and monetizes those assets across markets like ERCOT and CAISO could expand Stem's addressable base. The secular tailwind is real, though Stem must win share against larger integrated players.
3. Path to profitability and cost discipline
After heavy losses, Stem restructured aggressively, including workforce reductions targeting tens of millions in annual savings, and consolidated its products into one PowerTrack stack. It has reported several consecutive quarters of positive adjusted EBITDA and guided to modest positive adjusted EBITDA for 2026. Continued cost discipline plus higher software mix is the mechanism for turning a historically money-losing business into a sustainably profitable one.
4. Partnerships and platform expansion
Commercial wins matter for validating the software-only strategy, such as deploying PowerBidder Pro with Mercuria Energy Trading in ERCOT. Expanding managed services, adding assets under management, and landing enterprise customers on the unified PowerTrack platform all help grow ARR and prove the tools work across large, third-party portfolios. Each new deployment is a data point on whether Stem's AI optimization delivers measurable returns for asset owners.
What are the risks to Stem, Inc. (STEM)?
The central risks are that Stem is a small-cap turnaround with a modest revenue base, a history of losses, and a debt load that has pressured its balance sheet, and the software transition is still unproven at scale. The June 2025 reverse split to keep its NYSE listing underscores past share-price and compliance pressure that could recur if execution disappoints. Revenue can be lumpy as the company shifts away from hardware, and full-year guidance spans a wide range, signaling uncertainty. Competition is intense from larger, better-capitalized players in energy storage and management software. Growth also depends on renewable and storage deployment, which is sensitive to interest rates, policy, tax-credit changes, and utility budgets, all outside the company's control. Continued cash burn could force dilution or refinancing on unfavorable terms.
How is Stem, Inc. (STEM) valued? (approximate, Jul 2026)
A simple financial snapshot. These are approximations and refresh quarterly; for current figures see Stem, Inc.'s investor relations page or your broker.
- Q1 2026 revenue (software, services, edge hardware): ~$29 million, up modestly year over year; PowerTrack software revenue up ~16%
- FY2026 revenue guidance: Roughly $140 million to $190 million (a wide range signaling uncertainty)
- Adjusted EBITDA: Several consecutive positive quarters; FY2026 guided to modest positive adjusted EBITDA (roughly $10 million to $15 million)
- Year-end ARR (guided): Mid-$60-million range (~$65 million to $70 million)
- Market cap: Small cap; volatile and post-reverse-split (verify live)
- Balance sheet: Carries debt and has had cash-burn and liquidity pressure; watch net cash and convertible notes
Figures are approximate and tied to the asOf date; verify live numbers before acting. Stem is a small-cap turnaround mid-pivot from hardware to software, so results can be lumpy, guidance ranges are wide, and reported GAAP results differ meaningfully from adjusted EBITDA. The 1-for-20 reverse split in June 2025 also changed the share count and per-share figures, so be careful comparing pre- and post-split numbers. Confirm the latest revenue, ARR, cash, and debt directly from filings before drawing conclusions.
Who competes with Stem, Inc. (STEM)?
Energy storage and integration players
Fluence Energy and Tesla (through Tesla Energy and its Autobidder software) are major forces in grid-scale battery storage, combining hardware, integration, and software. They are larger and better capitalized than Stem, and Tesla's Autobidder competes directly with Stem's market-bidding tools, making differentiation on independent, hardware-neutral software Stem's key wedge.
Distributed energy and solar software
Enphase Energy and Sunrun focus on residential and commercial solar-plus-storage with their own monitoring and energy-management software, while broader distributed-energy platforms overlap with Stem's optimization tools. These names compete for the same clean-energy investment dollars and for software mindshare among asset owners, though their customer mix skews more residential than Stem's commercial and grid-scale focus.
Industrial and grid-software incumbents
Large industrial and grid technology firms such as Schneider Electric, plus specialized energy-market and asset-optimization software vendors, compete for enterprise and utility customers. These incumbents bring scale, existing relationships, and deep resources, so Stem must win on AI-driven optimization performance and ease of integration across third-party hardware.
How to invest in Stem, Inc. (STEM)
There are three common ways to get STEM exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic basket, so STEM sits alongside other stocks that express the same thesis.
Walnut takes the basket route. Describe a thesis where STEM fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.
The bottom line on Stem, Inc. (STEM)
Stem is a small-cap clean-energy software turnaround, shifting from hardware resale to a SaaS model around PowerTrack and PowerBidder. It has reached positive adjusted EBITDA but carries debt, a small revenue base, and past listing pressure, so it rewards belief in the software pivot and punishes those needing scale and stability.
Build a basket around STEM with Walnut
Use Stem, Inc. as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
Is STEM a good stock to buy right now?
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That depends on your goals, time horizon, and risk tolerance, and this is not investment advice. The bull case is a genuine turnaround: a shift to higher-margin software (PowerTrack and PowerBidder), several quarters of positive adjusted EBITDA, and exposure to fast-growing energy storage. The bear case is that Stem is a small-cap with a modest revenue base, debt, lumpy results, and a recent reverse split to keep its listing, competing against much larger players. Weigh both against your portfolio.
What does Stem actually do?
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Stem provides AI-driven software and services for battery energy storage and solar assets. Its PowerTrack platform (formerly Athena) monitors and optimizes these assets, and PowerBidder Pro helps owners and traders bid storage into wholesale power markets like ERCOT. It earns revenue from software subscriptions, managed and edge services, and historically hardware resale, which it is now de-emphasizing.
Why did Stem do a reverse stock split?
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In June 2025, Stem executed a 1-for-20 reverse stock split, combining every 20 shares into one and reducing authorized shares. The goal was to lift its share price back above the NYSE minimum average closing price requirement and regain listing compliance to avoid delisting. Reverse splits do not change the underlying business value; they raise the per-share price and signal that the stock had been under pressure.
Is Stem profitable?
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Stem has reported several consecutive quarters of positive adjusted EBITDA and guided to modest positive adjusted EBITDA for 2026, a meaningful step in its turnaround. However, adjusted EBITDA excludes items like interest, depreciation, and stock compensation, so it can differ from GAAP net income, which has historically shown losses. Check both adjusted and GAAP figures in the latest filings before concluding it is fully profitable.
Why is Stem's stock so volatile?
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Stem is a small-cap clean-energy turnaround with a modest revenue base, debt, and lumpy results as it pivots from hardware to software. Small-caps mid-transition tend to swing on each earnings print, guidance change, and shift in clean-energy sentiment or interest rates. The recent reverse split and past listing pressure add to the volatility, so price moves can be far sharper than for larger, established companies.
Does Stem pay a dividend?
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No. Stem does not pay a dividend. It is a turnaround-stage company focused on reaching sustainable profitability and paying down or managing debt, so any return would come from share-price appreciation rather than income. Always confirm current policy from the company before assuming any payout.
What is PowerBidder Pro?
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PowerBidder Pro is Stem's AI-enabled, software-only trading tool that helps battery storage owners and traders bid their assets into wholesale electricity markets to capture better returns. It has been deployed with counterparties such as Mercuria Energy Trading in ERCOT. It reflects Stem's push toward a software-led model, selling optimization intelligence separate from hardware.
How can I get exposure to Stem through an ETF?
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STEM appears in some clean-energy, renewable-technology, smart-grid, and small-cap ETFs, where it sits among storage and energy-software names. Because it is a small company, its weight in any such fund is usually small, so ETF exposure spreads single-stock risk but gives limited direct participation. Check a fund's holdings and weighting before assuming meaningful Stem exposure.
What are the main risks of investing in STEM?
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The main risks are a small revenue base, debt and past liquidity pressure, and an unproven-at-scale software transition, all in a company that recently reverse-split to keep its NYSE listing. Results can be lumpy, guidance ranges are wide, and it competes with far larger, better-funded players. Growth depends on clean-energy deployment that is sensitive to rates, policy, and tax-credit changes, and continued cash burn could force dilution.
How is Stem exposed to the energy storage market?
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Stem's software optimizes and monetizes battery storage and solar assets, so it benefits as more storage is deployed alongside renewables and as volatile power prices reward smart dispatch and market bidding. That gives it a real secular tailwind in grid flexibility. The catch is that this demand hinges on continued clean-energy investment, which policy, interest rates, and utility budgets can slow.
Walnut is informational, not investment advice. Financial figures on this page are approximations; always verify current numbers with Stem, Inc.'s investor relations page or your broker before making investment decisions.