What happened
Prior to the start of this week, shares of Plug Power (PLUG 1.26%) had rallied in June, climbing more than 10%. And nothing seems to be changing with regards to the market's sentiment for this hydrogen and fuel cell stock -- especially in light of the company's encouraging investor presentation and some favorable coverage from Wall Street.
Since the end of last Friday's trading session, shares of Plug Power are up 13.6% as of 1:15 p.m. ET today, according to data provided by S&P Global Market Intelligence.
So what
Holding its Analyst Day event on Wednesday, Plug reaffirmed 2023 forecasts that it had initially issued during Q3 2022: $1.4 billion in revenue and a $140 million gross profit. Should the company achieve this guidance, it will represent impressive year-over-year growth. In 2022, Plug reported revenue and a gross loss of $701.4 million and $194.4 million, respectively.
It wasn't only the company's expectation about its 2023 performance that energized investors this week. Management also reaffirmed its 2026 forecast of $5 billion in sales and an operating margin over 17%, as well as its 2030 forecast of over $20 billion in sales and an operating margin over 20%.
After hearing what management had to say about the company's future, Wall Street voiced its approval. On Thursday, Jordan Levy, an analyst at Truist Securities (part of Truist Financial), raised his price target to $12 from $9, and Colin Rusch, an analyst at Oppenheimer, reiterated an outperform rating.
Now what
On one hand, it's unsurprising that the market drove shares of Plug higher this week after management waxed bullish about the company's prospects. At the same time, those familiar with Plug and its overly positive profitability prognostications are likely taking the company's messaging from the Analyst Day event with a heaping tablespoon of salt.
For hydrogen-minded investors standing on the sidelines regarding Plug, nothing from this week should sway them to click the buy button now.
