Assessing Whether Plug Power Inc. (NASDAQ: PLUG) Is Over- Or Undervalued


    BlackRock Fund Advisors has recently announced that it has increased stake in Plug Power Inc. (NASDAQ:PLUG) by 14.86%. After grabbing 24.59 million shares, the institutional investor is now in possession of 3.18 million shares of the Industrials Company. The new investment brought the stake of investor firm to 7.58% having worth around $189.62 million. Moreover, The Vanguard Group, Inc. increased its share by 1.03 million to have a control over 15.32 million shares. And D. E. Shaw & Co. LP raised its holdings to 6.9 million shares by acquiring 13.15 million shares or 4.05% of the stake.

    Plug Power Inc. (PLUG) concluded trading on 08/26/20 at a closing price of $13.05, with 31.55 million shares of worth about $411.75 million changed hands on the day. Weekly performance of the stock remained negative as price took a plunge of -4.40% during that period and on Wednesday the price saw a gain of about 1.56%. Currently the company’s common shares owned by public are about 401.74M shares, out of which, 347.99M shares are available for trading.

    Analysts also issued an outlook of 1.90 for the Plug Power Inc. stock for next 12 months.

    According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 142 times over the past 12 months. They bought 7,649,388 shares in 97 of the transactions. In 45 selling transactions, insiders dumped 9,704,316 shares.

    Vanguard Total Stock Market Index, iShares II Plc – Global Clean Ene, and iShares Russell 2000 ETF are the top 3 mutual funds which are holding stakes in Plug Power Inc. Vanguard Total Stock Market Index is currently holding 9.21 million shares of worth totaling $71.05 million. The company recently came selling 84365.0 shares which brought its stake up to 2.84% of the company’s outstanding shares. iShares Russell 2000 ETF, after selling 6.69 million shares, have now control over 2.06% of the stake in the company. It holds -0.31 million shares of worth $51.57 million.

    Plug Power Inc. (NASDAQ: PLUG) started trading at $12.88, above $0.03 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $13.05, or with a gain of 1.56%. Stock saw a price change of -4.40% in past 5 days and over the past one month there was a price change of 61.91%. Year-to-date (YTD), PLUG shares are showing a performance of 312.97% which increased to 512.68% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $2.06 but also hit the highest price of $14.35 during that period. While comparing its average daily trading volume of 27.47 million shares, we see that about 31.55 million changed hands on the day. The stock is currently trading 18.29% above its 20-day simple moving average (SMA20), while that difference is up 41.42% for SMA50 and it goes to 147.41% higher than SMA200.

    BlackRock Fund Advisors acquired 24.59 million shares of Plug Power Inc. having value of about $189.62 million. Data submitted at the U.S SEC by BlackRock Fund Advisors revealed that the firm now holds 3.18 million shares in the company valued at close to $41535148.5, or have control over 14.86% stake in the company. Plug Power Inc. (NASDAQ: PLUG) currently have 401.74M outstanding shares and institutions hold larger chunk of about 50.80% of that. Holding of mutual funds in the company is about 25.98% while other institutional holders and individual stake holders have control over 30.99% and 1.57% of the stake respectively.

    The stock has a current market capitalization of $5.21B and its 3Y-monthly beta is at 1.16. It has posted earnings per share of -$0.28 in the same period. It has Quick Ratio of 1.30 while making debt-to-equity ratio of 1.23. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for PLUG, volatility over the week remained 8.58% while standing at 8.25% over the month.

    Analysts are in expectations that Plug Power Inc. (PLUG) stock would likely to be making an EPS of -$0.07 in the current quarter, while forecast for next quarter ESPS is -$0.07 and it is -$0.24 for next year. For the current quarter EPS, analysts have given the company a lowest target -$0.1 which is -$0.05 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of -$0.09 in the same quarter a year ago. Stock’s fiscal year EPS is expected to drop by -1.00% while it is estimated to increase by 17.20% in next year. EPS is likely to grow at an annualized rate of 25.00% for next 5-years, compared to annual growth of 8.30% made by the stock over the past 5-years.

    Analysts at 9 brokerage firms have issued recommendations for the Plug Power Inc. (PLUG)’s stock and average of those rates the stock at a “Strong Buy” and assign it a score of 1.90. Out of those 9 Wall Street analysts, 7 recommended a “Buy” rating, while 2 were in favor recommending the stock as a “Hold” and 0 analyst recommended the stock as “Sell”.

    Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by Odeon on August 18, 2020 offering a Buy rating for the stock and assigned a target price of to it. Coverage by Barclays stated Plug Power Inc. (PLUG) stock as an Equal weight in their note to investors on July 09, 2020, suggesting a price target of $10 for the stock. On June 24, 2020, H.C. Wainwright Reiterated their recommendations, while on June 12, 2020, B. Riley FBR Resumed their ratings for the stock with a price target of. Stock get an Overweight rating from Barclays on June 04, 2020.


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