Plug Power Sees Strong Start
Shares of Plug Power (NASDAQ: PLUG) have kicked off 2026 with a notable boost, experiencing a 14.5% rise as of 2 PM ET on Friday.
The market is buzzing with thematic momentum as the year unfolds. Clean energy stock prices are generally climbing as investors anticipate an increase in global electricity demand starting from 2026. This expectation is largely fueled by trends like reshoring and the expansion of data centers.
In addition, an analyst upgrade has sparked renewed hope among investors. It seems the new year is bringing some optimistic news for Plug Power.
ClearStreet analyst Tim Moore has raised the stock rating for Plug Power from “hold” to “buy.” His revised outlook reflects a bullish perspective on the hydrogen fuel cell manufacturer. He has set a new price target of $3 per share, which, although lower than the previous $3.50 target, still suggests a potential upside of 50% from the closing price of December 31, 2025.
Despite having suffered a significant drop since surpassing $4 in mid-October, Moore thinks the stock is starting to look more appealing as the company edges closer to profitability. His interest in Plug Power has been particularly piqued by its Project Quantum Leap, which aims for annual cost savings of $150 million to $200 million.
While Moore may be optimistic, there are concerns. Even after being in business for decades, Plug Power hasn’t reached profitability yet. There’s a lot of focus on cost-cutting, but the key to financial success was supposed to be green hydrogen production.
However, progress has been stymied after Plug Power had to cancel a crucial expansion program when the Trump administration halted prior funding initiatives. The company had relied on a $1.66 billion loan to assist in growth, but that plan faced political hurdles.
Before considering an investment in Plug Power, it’s worth reflecting on a few points.
According to our analysts at Motley Fool Stock Advisor, they’ve identified ten other stocks that might be more promising right now. Plug Power did not make that list, yet these selected stocks show substantial potential for impressive returns in the coming years.
