Why Is FuelCell Energy Stock Slumping On Monday?

FuelCell Energy Inc (NASDAQ:FCEL) shares are trading sharply lower on Monday. The stock fell roughly 20% in early trading, erasing a significant portion of its recent massive gains.

The Nasdaq is down 0.81% while the S&P 500 has shed 0.41%.

• FuelCell Energy stock is taking a hit today. Why is FCEL stock dropping?

Retail Traders Pivot To Profit-Taking

The primary driver behind Monday's decline appears to be aggressive profit-taking. FuelCell Energy stock previously hit a 52-week high of $22.83.

The peak capped a multi-day surge. The stock climbed over 100% in the last month alone. Retail traders are now securing gains after this rapid price appreciation.

AI Data Center Euphoria Cools

The intense momentum in the clean energy sector is taking a breather today. Market optimism recently shifted into high gear following a landmark power deal.

Bloom Energy Corp (NYSE:BE) signed a master agreement with Oracle Corp (NYSE:ORCL) last month. That deal supports up to 2.8 gigawatts of capacity. However, enthusiasm for AI power trade is cooling off this week.

FCEL Technical Levels To Watch During Pullback

FCEL remains in a strong longer-term uptrend, trading 25.5% above its 20-day SMA ($13.76) and more than doubling its distance above the 200-day SMA ($7.93).

Momentum is the bigger story: RSI is at 81.43, which signals the move has been stretched and can be prone to pullbacks even if the primary trend stays intact.

From a structure standpoint, the bullish backdrop is still there with the 20-day SMA above the 50-day SMA, and the golden cross that formed in October 2025 still frames the longer trend as constructive.

FCEL Price Action: FuelCell Energy shares were down 20.88% at $16.89 at the time of publication on Monday, according to Benzinga Pro.

Over the past month, FuelCell has gained about 100.92% versus a 3.9% rise in the S&P 500 and is up roughly 137% year-to-date compared to the index’s 7.4% gain.

Photo by T. Schneider via Shutterstock