Plug Power (PLUG 0.40%) stock rallied in this week's trading, rising 21.1% across the stretch. Meanwhile, the S&P 500 was up 0.1%, and the Nasdaq Composite was down 0.1%.
Plug Power published its first-quarter results on May 11 and delivered sales and earnings that topped Wall Street's targets. Following the quarterly report, the stock received ratings upgrades and price-target increases from multiple investment firms.
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Plug Power's Q1 report showed promise
Plug Power reported a net loss of $109 million on sales of $163.5 million in the first quarter. For comparison, the average Wall Street analyst estimate had targeted a loss of $110 million and sales of $140 million. Sales were up from $134 million in the prior-year quarter, with growth driven by the company's material handling and electrolyzer businesses.
Along with its Q1 report, Plug Power laid out guidance for annual revenue growth between 13% and 15% this year. Management also said that it expected margins to improve each quarter and a gross margin in the range of 40% for the year. The company also anticipates posting positive non-GAAP (adjusted) earnings before interest, taxes, depreciation, and amortization (EBITDA) in the fourth quarter.
NASDAQ: PLUG
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Plug Power received a slew of price-target increases
In response to the company's better-than-expected Q1 results and encouraging forward guidance, multiple investment firms raised their price targets on Plug Power stock. Of the major firms to hike their targets, B. Riley was the most bullish.
B. Riley raised its one-year target on the stock from $3 per share to $5 per share and reiterated its buy rating. The firm's analysts see improved operational efficiency and continued business scaling leaving the door open for strong returns. As of this writing, B. Riley's price target still suggests additional upside of roughly 32%.
