Stem Reports Strong Earnings. Battery Costs and Supply Chains Have to Be Tamed.

$Stem Inc(STEM.US)$ Battery energy storage and software provider Stem reported third-quarter earnings that beat Wall Street expectations. Solid earnings, however, are only part of the story. The company’s opportunities are expanding even as battery costs and supply-chain problems need to be managed.

Investors look pleased with results. Shares are up about 12% in after-hours trading, at $25.71. The stock closed down about 8% in regular Tuesday trading. There wasn’t much news to drive shares lower, except for pending earnings. Shares are now up about $1 compared with Monday’s close of $24.78 a share.