Plug Power Stock: Upgrading Ahead Of Earnings
Summary
- Plug Power stock has failed to gain momentum in the market despite stellar revenue growth in recent quarters.
- The company's inability to convert revenue into earnings has been a major factor in its poor stock market performance.
- Plug Power's aggressive investments in manufacturing capacity and hydrogen production plants may negatively impact short-term financial performance.
- Topline growth is unlikely to save Plug Power stock after reporting earnings today, but I am upgrading the stock to a buy based on valuation after digesting recent strategic investments to secure growth.
Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in PLUG over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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