Business & Investment

Plugpower shares soar for the longest streak in two years after Morgan Stanley said he would buy before analysts

After Morgan Stanley analyst Stephen Bird recommended buying the day before the hydrogen and fuel cell systems analyst day, PlugPower’s stock soared to seven consecutive rises on Wednesday, It was comparable to the longest winning streak in two years.

Plug also announced prior to a public agreement with aerospace giant Airbus SE
+ 0.40%

+ 0.50%

Energy and Logistics Company Phillips 66

Develop green hydrogen business opportunities.

+ 12.79%

It rose 12.8% to $ 33.59, the highest since June 30th. It has skyrocketed 38.1% since closing at $ 24.32 on October 4. Trading volume has risen to 85.3 million shares, almost five times the daily average.

The latest 7-day streak will be the longest profit since the 9-day streak that ended on September 16, 2019. Since then, there have been two other seven-day streak wins, one ending in January 2021 and the other ending in November 2019.

Profit is ahead of company profit “Plug Symposium 2021: Green Hydrogen is coming here,Will start at 10 am Eastern Standard Time on Thursday.

Read again: Plugpower shares jump for the sixth straight year ahead of the long-awaited annual symposium..

FactSet, MarketWatch

Morgan Stanley’s Bird raised his reputation overweight six months after resuming coverage of Plug at the same weight. He raised the stock price target from $ 35 to $ 40.

According to Bird, there are three main reasons for an upgrade.

  • “Plugs are likely to provide positive updates for the next investor day, and we see a strong catalytic path in the future.”

  • “A significant advantage from the potential legislative support for green hydrogen. This can be a significant impetus for hydrogen adoption.”

  • “Stock price performance has resulted in favorable risk and reward bias.”

He raised his 2024 earnings estimate by $ 300 million to $ 2 billion. This is compared to the current FactSet consensus of $ 1.68 billion.

Bird believes that the United States needs “very large amounts” of green hydrogen to reach its decarbonization goals, and that plugs are one of the best companies to make a profit. ..

Bird is “most excited” about what the company says about the electrolytic cell business for the company’s Investor Day. We look forward to more details on the potential pipeline of sales and customer announcements there.

He said Plug has already begun construction of some of its own hydrogen production facilities, which could lead to the announcement of some “off-take” agreements.

Bird believes that within the range of stationary power, Plug will announce customers for large data centers on Thursday.

And with regard to potential legislative boosts, Mr Bird said recent budget-adjusting languages ​​suggest that the adoption of green hydrogen will accelerate beyond his expectations. He said legislative support for low-carbon hydrogen could add $ 9 to $ 10 per share to his share price target.

Plug’s share price has fallen 0.9% year-to-date, but has risen 94.2% in the last 12 months.By comparison, S & P 500 Index
+ 0.30%

It increased by 16.2% this year and increased by 25.1% over the past year.

Plug said earlier Wednesday that it would partner with Airbus to study the potential to bring green hydrogen to future aircraft and airports as part of Airbus’ goal to bring zero-emission aircraft to market by 2035. ..

“We have already revolutionized ground electric trucks and industrial fleets, so now we are looking to the sky,” said Andy Marsh, CEO of Plug. ..

Plug also announced that it has signed a Memorandum of Understanding (MOU) with Phillips 66 to develop opportunities for the Green Hydrogen business.

Heath DePreist, Vice President of the Emerging Energy Group at Phillips 66, said:

Plugpower shares soar for the longest streak in two years after Morgan Stanley said he would buy before analysts Plugpower shares soar for the longest streak in two years after Morgan Stanley said he would buy before analysts

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