Ballard Power Systems (NASDAQ:BLDP) Stock Price Up 16.3% After Better-Than-Expected Earnings

Key Points

• Shares jumped 16.3% intraday after Ballard reported a smaller-than-expected loss of $0.04 per share (vs. a $0.06 loss estimate), with the stock trading as high as $3.66 and mid-day volume about 1.81M shares (47% below average).
• Wall Street remains cautious: the consensus rating is "Reduce" with an average price target of $2.69 and most analysts at Hold or Sell despite a few recent target adjustments.
• Underlying fundamentals remain weak, with a net margin of -91.5%, return on equity of -14.62%, a negative P/E of -13.28, and a market capitalization of roughly $1.2 billion.

Ballard Power Systems, Inc. (NASDAQ:BLDP - Get Free Report) TSE: BLD shares rose 16.3% during mid-day trading on Tuesday following a better than expected earnings announcement. The company traded as high as $3.66 and last traded at $3.8250. Approximately 1,806,936 shares were traded during mid-day trading, a decline of 47% from the average daily volume of 3,397,487 shares. The stock had previously closed at $3.29.

The technology company reported ($0.04) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.06) by $0.02. Ballard Power Systems had a negative return on equity of 14.62% and a negative net margin of 91.50%.

Wall Street Analyst Weigh In

BLDP has been the subject of a number of recent research reports. Wells Fargo & Company upped their target price on Ballard Power Systems from $1.50 to $2.00 and gave the stock an "underweight" rating in a report on Friday, March 27th. TD Cowen raised Ballard Power Systems from a "sell" rating to a "hold" rating in a report on Friday, January 9th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Ballard Power Systems in a report on Monday, April 20th. Finally, TD Securities raised Ballard Power Systems from a "sell" rating to a "hold" rating and set a $2.50 target price on the stock in a report on Friday, January 9th. Ten research analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, Ballard Power Systems has a consensus rating of "Reduce" and an average price target of $2.69.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of BLDP. Rockefeller Capital Management L.P. lifted its holdings in Ballard Power Systems by 228.1% during the 4th quarter. Rockefeller Capital Management L.P. now owns 10,000 shares of the technology company's stock worth $25,000 after buying an additional 6,952 shares during the period. Swiss Life Asset Management Ltd acquired a new position in Ballard Power Systems during the 4th quarter worth about $26,000. Ground Swell Capital LLC acquired a new position in Ballard Power Systems during the 1st quarter worth about $26,000. Intesa Sanpaolo S.p.A. acquired a new position in Ballard Power Systems during the 4th quarter worth about $28,000. Finally, Caitong International Asset Management Co. Ltd lifted its holdings in Ballard Power Systems by 422.6% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 15,024 shares of the technology company's stock worth $38,000 after buying an additional 12,149 shares during the period. 28.02% of the stock is owned by institutional investors and hedge funds.

Ballard Power Systems Price Performance

The company has a market capitalization of $1.20 billion, a price-to-earnings ratio of -13.28 and a beta of 1.94. The company has a debt-to-equity ratio of 0.03, a quick ratio of 9.14 and a current ratio of 9.86. The business has a 50 day moving average price of $2.57 and a 200-day moving average price of $2.72.

About Ballard Power Systems

Ballard Power Systems NASDAQ: BLDP is a Canadian technology company specializing in the development and manufacture of proton exchange membrane (PEM) fuel cell products. Headquartered in Vancouver, British Columbia, Ballard designs and sells fuel cell stacks and modules that enable zero-emission power generation for a variety of applications, including heavy-duty motive systems, backup power, material handling equipment, and portable power solutions.

Since its founding in 1979, Ballard has built a strong intellectual property portfolio and a track record of innovation in PEM fuel cell technology.

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