Plug Power (NASDAQ:PLUG) Shares Down 8.2% - Here's Why

Key Points

• Plug Power's shares fell 8.2% to a low of $3.05 amid increased trading volume, indicating potential investor concern.
• Analysts have set a target price range for the stock between $1.50 and $4.40, with various ratings from "strong buy" to "sell," leading to an average rating of "hold."
• Despite reporting revenues of $173.97 million, Plug Power missed earnings expectations, reflecting significant profitability challenges with a net margin of −292.84%.

Plug Power, Inc. (NASDAQ:PLUG - Get Free Report) shares dropped 8.2% on Tuesday . The stock traded as low as $3.05 and last traded at $3.12. Approximately 111,415,511 shares were traded during mid-day trading, an increase of 18% from the average daily volume of 94,784,547 shares. The stock had previously closed at $3.40.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on PLUG shares. HSBC set a $4.40 target price on shares of Plug Power in a research report on Thursday, October 9th. Hsbc Global Res raised shares of Plug Power to a "strong-buy" rating in a research note on Thursday, October 9th. Wells Fargo & Company lifted their price objective on Plug Power from $1.00 to $1.50 and gave the stock an "equal weight" rating in a research report on Thursday, August 14th. Morgan Stanley reaffirmed an "underweight" rating and set a $1.50 target price on shares of Plug Power in a report on Thursday, October 16th. Finally, Weiss Ratings restated a "sell (d-)" rating on shares of Plug Power in a research report on Wednesday, October 8th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, seven have issued a Hold rating and six have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $2.54.

Plug Power Stock Down 8.2%

The stock has a market cap of $3.60 billion, a P/E ratio of -1.35 and a beta of 2.23. The company has a quick ratio of 0.82, a current ratio of 1.59 and a debt-to-equity ratio of 0.22. The firm has a 50 day simple moving average of $2.29 and a 200-day simple moving average of $1.57.

Plug Power (NASDAQ:PLUG - Get Free Report) last issued its quarterly earnings results on Monday, August 11th. The electronics maker reported ($0.16) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.15) by ($0.01). Plug Power had a negative net margin of 292.84% and a negative return on equity of 90.22%. The company had revenue of $173.97 million during the quarter, compared to the consensus estimate of $157.97 million. On average, equities research analysts forecast that Plug Power, Inc. will post -1.21 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Cambridge Investment Research Advisors Inc. lifted its holdings in Plug Power by 138.4% during the first quarter. Cambridge Investment Research Advisors Inc. now owns 202,387 shares of the electronics maker's stock worth $273,000 after acquiring an additional 117,492 shares during the period. JNBA Financial Advisors purchased a new stake in shares of Plug Power during the 1st quarter valued at $37,000. Vontobel Holding Ltd. increased its position in shares of Plug Power by 23.0% during the 1st quarter. Vontobel Holding Ltd. now owns 3,465,804 shares of the electronics maker's stock valued at $4,679,000 after purchasing an additional 648,058 shares during the last quarter. Krane Funds Advisors LLC raised its stake in shares of Plug Power by 2.3% during the first quarter. Krane Funds Advisors LLC now owns 450,901 shares of the electronics maker's stock worth $609,000 after acquiring an additional 10,287 shares in the last quarter. Finally, Teacher Retirement System of Texas purchased a new position in Plug Power in the 1st quarter worth $153,000. Hedge funds and other institutional investors own 43.48% of the company's stock.

About Plug Power

Plug Power Inc develops hydrogen and fuel cell product solutions in North America, Europe, Asia, and internationally. The company offers GenDrive, a hydrogen-fueled proton exchange membrane (PEM) fuel cell system that provides power to material handling electric vehicles; GenSure, a stationary fuel cell solution that offers modular PEM fuel cell power to support the backup and grid-support power requirements of the telecommunications, transportation, and utility sectors; ProGen, a fuel cell stack and engine technology used in mobility and stationary fuel cell systems, and as engines in electric delivery vans; GenFuel, a liquid hydrogen fueling delivery, generation, storage, and dispensing system; GenCare, an ongoing Internet of Things-based maintenance and on-site service program for GenDrive fuel cell systems, GenSure fuel cell systems, GenFuel hydrogen storage and dispensing products, and ProGen fuel cell engines; and GenKey, an integrated turn-key solution for transitioning to fuel cell power.

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