What's Going On With Plug Power Stock?

Shares of Plug Power Inc (NASDAQ:PLUG) are trading higher Thursday morning as positive sentiment from Wall Street analysts appears to be overshadowing recent dilution concerns. The stock’s rally is gaining momentum following a series of price target increases from financial firms this week.

What To Know: The renewed optimism provides a strong tailwind after a volatile period for the hydrogen fuel cell company. Last week, shares slid after a July 9 prospectus filing detailed the potential resale of 31.5 million shares by a stockholder, stoking fears of share dilution.

However, a string of bullish catalysts is now commanding investor attention. On Monday, Susquehanna raised its price target on PLUG to $1.80. Jefferies followed on Wednesday, maintaining a Hold rating but nearly doubling its price target from 90 cents to $1.60.

This analyst confidence builds on fundamental progress, including a new low-cost hydrogen supply agreement expected to boost margins and a federal extension of the 45V clean hydrogen tax credit. Furthermore, a 650,000-share purchase by CFO Paul Middleton in June signaled strong executive confidence.

Thursday’s upward momentum suggests investors are prioritizing recent strategic wins and analyst upgrades over dilution fears, setting a bullish tone for the stock ahead of its second-quarter earnings release in August.

Benzinga Edge Rankings: According to Benzinga Edge stock rankings, which are designed to identify the strength of a stock across four critical factors, Plug Power presents a distinct profile for investors.

The company scores exceptionally well on its Value metric with a high score of 73.15, suggesting it may be undervalued relative to its peers or intrinsic worth. In sharp contrast, the data indicates significant weakness in other areas.

PLUG shows very poor Momentum with a score of 18.84 and weak Growth characteristics, scoring just 15.29. This profile suggests that while PLUG may appeal to value-oriented investors, it currently lacks the strong growth and market momentum that other traders may seek.

Price Action: According to data from Benzinga Pro, PLUG shares are trading higher by 4.8% to $1.89 Thursday morning. The stock has a 52-week high of $3.32 and a 52-week low of $0.69.

Read Also: Expert Outlook: Plug Power Through The Eyes Of 6 Analysts

How To Buy PLUG Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Plug Power’s case, it is in the Industrials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

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