Plug Power (PLUG), a provider of hydrogen fuel cell solutions, will release its Q2 results on August 8. Wall Street analysts expect the company to report a loss of $0.31 per share for Q2 2024, versus a $0.40 per share loss reported in the prior-year quarter. Meanwhile, analysts expect revenues of $184.5 million, reflecting a 29% year-over-year decrease, according to TipRanks’ data.
This penny stock (learn more about penny stocks here) has reported continued losses in recent years, and its stock price has followed suit, with a decline of nearly 81% over the past year and 93% over the last three years.
Importantly, the company has also missed the consensus EPS estimates in all of the last nine quarters.
Key Takeaways from TipRanks’ Bulls & Bears Tool
Pointing to the weak quarterly Q1 results, bearish analysts, according to TipRanks’ Bulls Say, Bears Say tool pictured below, are concerned about the company’s revenue and margin growth. They also noted the increased risk of delayed profitability in the equipment segment, which could pressure liquidity.
However, bulls are optimistic about Plug Power, citing its focus on profitability and a $1.66 billion loan guarantee from the Department of Energy for green hydrogen projects. They also highlight the company’s expansion of hydrogen fuel cell technology across sectors, providing new investment opportunities in the U.S. hydrogen market.
Options Traders Anticipate a Large Move
Using TipRanks’ Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don’t worry, the Options tool does this for you.
Indeed, it currently says that options traders are expecting a 15.38% move in either direction.
Is Plug Power a Good Stock to Buy?
Overall, the Street has a Hold consensus rating on PLUG, alongside an average price target of $4.39. However, analysts’ views on the company could change after the company reports its earnings today.
