What happened
Investors hoping that shares of Plug Power (PLUG -6.95%) would rebound from the 9% loss they suffered last week are feeling disappointment in the early hours of today's trading session. It seems that the market hasn't recovered from the bearish attention the fuel cell stock received from analysts last Friday.
As of 11:25 a.m. ET, shares of Plug Power are down 2.8%, having recovered slightly from their earlier drop of 6.4%.
So what
Plug Power held its annual Plug Symposium last Wednesday, and while management hoped to electrify excitement for the company's prospects, it seems that analysts weren't overly impressed. On Friday, George Gianarikas, an analyst at Canaccord, assumed coverage on the stock, rating it a hold and assigning a price target of $16. According to TheFly.com, Gianarikas is unconvinced that Plug can achieve its lofty projections: daily liquid green hydrogen production of 500 tons and 1,000 tons by 2025 and 2028, respectively.
Michael Blum, an analyst at Wells Fargo, also came away from the Plug Symposium feeling less than charged up about the stock. Before the weekend, Blum reduced his price target on Plug's stock to $21 from $29, maintaining an equal weight rating. While Plug Power projects revenue of $20 billion in 2030, Blum is skeptical. According to TheFly.com, Blum characterizes the 2030 forecast as "ambitious" and a "blue sky scenario."
Plug Power reported revenue of $502.3 million in 2021.
Now what
While Plug Power was looking to stoke enthusiasm for its fuel cell and hydrogen production businesses last Wednesday, analysts walked away from the presentation feeling less than thrilled. Investors, likewise, are growing doubtful of the company's earnest revenue forecasts, choosing to turn their attention to companies whose growth expectations seem more attainable.
