![]() In fact, according to Gurufocus, PLUG stock suffers from six red flags, including rising debt levels and a poor Altman Z-Score, implying bankruptcy risk. On a trailing-year basis, both its operating and net margins are deep into negative territory. However, Plug also suffers from poor profitability metrics. True, the company benefits from decent liquidity based on its cash-to-debt ratio of 1.78. Still, Plug Power’s path to profitability represents a more complex narrative. Needless to say, that’s massive potential for PLUG stock. By 2030, the market is expected to clock in at $131.06 billion. Further, experts project that the sector will expand at a compound annual growth rate (CAGR) of 60.1% from 2022 to 2030. According to Precedence Research, the global hydrogen fuel cells industry reached a valuation of $1.91 billion in 2021. That said, investors may still wonder: Is PLUG stock likely to become key to the hydrogen economy?Īgainst a broader fundamental perspective, Plug Power benefits from a massive total addressable market. This could mean that Plug Power may be undergoing a second-half resurgence. ![]() Interestingly, though, PLUG stock is also down more than 12% year-to-date (YTD). Over the trailing one-month period, shares have moved up nearly 18% as of this writing. In addition, today’s rally continues to put icing on the cake. With such a strong endorsement from a well-respected financial institution, the bulls are naturally bidding up PLUG stock on Wednesday. At the time of this writing, that target implies a return of roughly 22%.Įxamining the Bullish Case for PLUG Stock “Guidance on additionality and time matching as well as progress on gross margins should act as catalysts,” Citi added in a research note.Ĭiti set a PLUG stock price target of $13 per share. As a result, the company will likely capture near- to long-term opportunities through the hydrogen value chain. In addition, Citi stressed that Plug Power will act as an enabler of hydrogen switching. The company has strong customer relationships, sufficient liquidity, path to profitability and diversified assets.” ![]() “PLUG has positioned itself at the center of the hydrogen economy through vertical integration. Initiating coverage on the company, Citi analysts wrote the following: ![]() Still, PLUG remains a risky proposition despite its positive momentum in the trailing month.Īccording to, PLUG stock started swinging higher prior to the opening bell. Overall, Citi believes that Plug Power enjoys a competitive advantage in the hydrogen economy. The uplift in sentiment centers on Citigroup analysts giving PLUG stock a “buy” rating. Plug Power (NASDAQ: PLUG) stock is gaining noticeably amid a soft performance on Wall Street during the midweek session. ![]()
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