Plug Power (NASDAQ:PLUG) Stock Price Down 6.6% on Analyst Downgrade

Key Points

• Plug Power shares fell 6.6% after Susquehanna cut its price target from $3.75 to $2.50 and kept a neutral rating. The stock traded as low as $2.20 during the session.
• Analyst sentiment remains mixed overall, with multiple firms adjusting targets recently and the current consensus rating at Hold. MarketBeat says the average price target is $3.30.
• The company’s latest quarterly results showed better-than-expected revenue and EPS, with revenue up 22.3% year over year to $163.51 million and EPS of -$0.08 versus expectations of -$0.09. However, Plug Power still posted negative margins and a negative return on equity.

Shares of Plug Power, Inc. (NASDAQ:PLUG - Get Free Report) dropped 6.6% on Friday after Susquehanna lowered their price target on the stock from $3.75 to $2.50. Susquehanna currently has a neutral rating on the stock. Plug Power traded as low as $2.20 and last traded at $2.2240. 36,772,902 shares were traded during mid-day trading, a decline of 55% from the average session volume of 82,066,031 shares. The stock had previously closed at $2.38.

Several other research firms have also commented on PLUG. TD Cowen lifted their price target on shares of Plug Power from $2.00 to $3.00 and gave the company a "hold" rating in a research report on Tuesday, May 12th. Canaccord Genuity Group upped their target price on shares of Plug Power from $2.50 to $4.00 and gave the stock a "hold" rating in a research note on Tuesday, May 12th. Morgan Stanley increased their price target on Plug Power from $1.50 to $1.65 and gave the company an "underweight" rating in a research report on Thursday. B. Riley Financial lifted their price objective on shares of Plug Power from $3.00 to $5.00 and gave the stock a "buy" rating in a research report on Tuesday, May 12th. Finally, BMO Capital Markets boosted their target price on Plug Power from $1.00 to $1.20 and gave the stock an "underperform" rating in a research note on Tuesday, May 12th. Two analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating, seven have issued a Hold rating and four have given a Sell rating to the company. According to MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $3.30.

Institutional Investors Weigh In On Plug Power

A number of hedge funds and other institutional investors have recently made changes to their positions in PLUG. Vanguard Group Inc. increased its holdings in shares of Plug Power by 18.2% in the 4th quarter. Vanguard Group Inc. now owns 129,599,295 shares of the electronics maker's stock valued at $255,311,000 after acquiring an additional 19,967,339 shares during the last quarter. Handelsbanken Fonder AB raised its position in shares of Plug Power by 446.9% during the 2nd quarter. Handelsbanken Fonder AB now owns 19,014,270 shares of the electronics maker's stock worth $51,529,000 after buying an additional 15,537,320 shares in the last quarter. Renaissance Technologies LLC acquired a new stake in Plug Power in the fourth quarter worth approximately $27,684,000. Dimensional Fund Advisors LP lifted its holdings in shares of Plug Power by 241.2% in the first quarter. Dimensional Fund Advisors LP now owns 18,134,913 shares of the electronics maker's stock valued at $40,971,000 after buying an additional 12,820,616 shares during the period. Finally, Two Sigma Investments LP grew its stake in shares of Plug Power by 292.1% in the 3rd quarter. Two Sigma Investments LP now owns 10,830,893 shares of the electronics maker's stock worth $25,236,000 after purchasing an additional 8,068,713 shares during the last quarter. Hedge funds and other institutional investors own 43.48% of the company's stock.

Plug Power Price Performance

The company has a current ratio of 2.36, a quick ratio of 1.40 and a debt-to-equity ratio of 0.89. The company has a market cap of $3.10 billion, a price-to-earnings ratio of -1.69 and a beta of 2.16. The business has a 50-day moving average price of $3.18 and a 200 day moving average price of $2.61.

Plug Power (NASDAQ:PLUG - Get Free Report) last issued its earnings results on Monday, May 11th. The electronics maker reported ($0.08) earnings per share for the quarter, beating analysts' consensus estimates of ($0.09) by $0.01. Plug Power had a negative return on equity of 49.30% and a negative net margin of 227.13%.The company had revenue of $163.51 million for the quarter, compared to the consensus estimate of $139.87 million. During the same quarter in the prior year, the company earned ($0.21) EPS. The firm's quarterly revenue was up 22.3% on a year-over-year basis. As a group, research analysts expect that Plug Power, Inc. will post -0.25 earnings per share for the current fiscal year.

About Plug Power

Plug Power Inc is a U.S.-based company specializing in the design and manufacture of hydrogen fuel cell systems that serve as clean energy replacements for conventional batteries in electric vehicles and material handling equipment. Its core solutions include ProGen fuel cell engines, GenDrive power systems for forklifts and warehouse vehicles, and GenFuel hydrogen refueling infrastructure. These offerings are sold as standalone components or integrated turnkey solutions under the GenKey brand, providing customers with on-site refueling, equipment installation and maintenance services.

In addition to its fuel cell and refueling products, Plug Power develops backup power and off-grid energy solutions through its GenSure line, which targets telecommunications, data centers and utility applications.

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