Ceres Power Shares Surge to Lead FTSE 250 Gainers

Shares in Ceres Power Holdings (LON: CWR) staged a sharp rebound on Thursday, topping the FTSE 250 leaderboard as investors piled back into the fuel cell technology group following a bruising few weeks for the stock.

The Horsham-based company’s shares jumped as much as 10% intraday, touching a high of 348p, before settling around 343.2p by the afternoon session — a gain of over 8% on the previous close of 316.8p. Trading volumes were elevated, with more than 2.5 million shares changing hands as bargain-hunters moved in.

Thursday’s bounce comes after a volatile stretch for the solid oxide fuel cell specialist, whose shares had tumbled roughly 37% over the preceding month amid growing scrutiny of its valuation. Panmure Liberum downgraded the stock to “sell” in early June, warning that the market’s enthusiasm had outrun the realities of Ceres’ commercial scale-up, given that confirmed manufacturing partners currently have capacity of only around 400 megawatts by 2030 — far below levels the broker believes the share price implies.

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Despite the recent pullback, Ceres remains one of the standout performers on the London market over the past year, having rallied more than 400% amid surging interest in solid oxide fuel cells for data centre power and grid resilience.

The company’s licensing partnerships with Doosan, Delta Electronics, Weichai Power and Bosch, alongside the April launch of its Endura platform, have underpinned bullish analyst cases from the likes of Goldman Sachs and Jefferies, even as sceptics such as Peel Hunt continue to flag valuation risk.

Thursday’s rally suggests investors are betting the recent sell-off was overdone, though the wide dispersion of analyst price targets underscores how contested Ceres’ long-term commercial trajectory remains.