Plug Power, the Industrials sector company, was revisited by a Wall Street analyst today. Analyst Amit Dayal from H.C. Wainwright maintained a Buy rating on the stock and has a $3.00 price target.
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Amit Dayal has given his Buy rating due to a combination of factors that highlight both near-term and long-term growth prospects for Plug Power. The recent legislative changes, specifically the One Big Beautiful Bill Act, have enhanced incentives for clean energy and hydrogen production, which are expected to benefit Plug Power significantly. The extension of the Section 45V tax credits and the introduction of Section 48E tax credits provide a favorable environment for Plug Power to expand its operations and customer base globally.
In addition to regulatory incentives, Amit Dayal projects substantial revenue growth for Plug Power, with expectations of net revenues rising from $715 million in 2025 to $8 billion by 2036. This growth is anticipated to be accompanied by improvements in gross margins, moving from negative levels to over 20% by 2028-2029. Despite potential risks such as dilution, execution, and regulatory challenges, the overall outlook for Plug Power remains positive, justifying the Buy rating with a price target of $3.00.
Based on the recent corporate insider activity of 46 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of PLUG in relation to earlier this year.