What happened
Investors have been taking a risk-on approach this week, sending markets higher led by the technology-laden Nasdaq Composite index. As of midday Friday, the Nasdaq was higher by about 4% for the week, or about double the gain of the S&P 500 index.
One speculative growth stock that is blowing away even the Nasdaq returns for the week has been hydrogen fuel company Plug Power (PLUG -1.25%). As of 11:38 a.m. ET Friday morning, Plug shares had soared 23% for the week, according to data provided by S&P Global Market Intelligence.
So what
Plug Power announced progress on two fronts related to its push to be a leader in growing the hydrogen economy this week. It commissioned its fuel cell manufacturing plant in upstate New York that will more than double its employment presence in the state. The company broke ground in March 2022. The facility, which will make Plug's full line of fuel cell systems that power electric motors for the mobility market, will be fully operational by March.
The company also announced a new order this week for two hydrogen liquefiers to be sold to a Canadian energy company. The systems will have the capacity to produce hydrogen at a rate of 30 tons per day (TPD) and are scheduled to be delivered in 2024.
Image source: Getty Images.
Now what
This progress in Plug Power's mission to greatly expand the use of green hydrogen as a fuel has investors boosting shares this week. Though it comes after the stock has lost nearly half its value since early 2022.
The company expects sales to rise from about $1.4 billion in 2023 to $5 billion by 2026. A bet on this stock is one that also bets the adoption of hydrogen as a fuel will soar for Plug to achieve that revenue growth. Some investors believe the drop in shares over the past year has provided a good entry point to make that bet.
