Plug Power, Inc.(PLUG) - Stock detail

Plug Power, Inc.

US
PLUG
Plug Power Inc.(Listing date: 10/29/1999)

Plug Power Inc. is an alternative energy technology company and a pioneer and leader in the hydrogen fuel cell industry. It is engaged in the design, development, manufacturing and commercial application of hydrogen fuel cell systems worldwide, mainly for the industrial off-road (or forklift material handling) market. The company focuses on proton exchange membrane (PEM) fuel cells, fuel processing technologies, and fuel cell/battery hybrid technologies, with a variety of products available. The fuel cell that the company focuses on is an electrochemical device that can generate electricity and heat from hydrogen and oxygen without combustion. The company was incorporated in Delaware, USA on June 27, 1997.

AI Value AnalystSell
Overall Rating2/10
Generated at:2026-06-05 17:40:55
Analysis based on real data for Plug Power, Inc. (PLUG). Financial reports from five periods were used: 2025-12-31, 2025-09-30, 2025-06-30, 2025-03-31, and 2024-12-31. The current stock price reference is as of 2026-06-06. Data sources include the provided fundamental analysis report. Data completeness is sufficient for the conducted analysis covering basic information, financial condition, profitability, and valuation.
Overview

Plug Power, Inc. (PLUG) operates in the high-growth potential green hydrogen and fuel cell industry but is in a pre-profitability growth stage with severe financial challenges. The company shows adequate short-term liquidity but suffers from deep and consistent losses, negative margins, high financial leverage, and a valuation that appears disconnected from its fundamental financial reality.

Valuation
2/10
Profitability
1/10
Financial health
3/10
Operation Advice
  • Based on fundamental analysis, the stock is considered overvalued.
  • The calculated reasonable price range is $1.78 - $2.54, with a midpoint target of approximately $2.16, which is below the current price of $3.21.
  • Given the critical absence of profitability, high financial risk, and speculative market sentiment, it is advised to sell the stock.
  • Investors should wait for the company to demonstrate a credible and sustained roadmap to achieving positive gross margins and reducing cash burn before reconsidering an investment.

Valuation

P/E TTM
-1.54
P/E LYR
-1.55
P/B MRQ
1.98
P/S TTM
--
AI Analysis
  • Valuation analysis indicates the stock is overvalued based on current fundamentals. Traditional P/E is negative and meaningless due to losses. The P/B ratio of 1.98 and high P/S ratio of 6.32 suggest the market is pricing in future growth potential. Applying a more conservative sales multiple approach yields a reasonable price range of $1.78 to $2.54, which is below the current price of $3.21.
  • Valuing a pre-profitability company like PLUG is challenging, as traditional metrics are not directly applicable.
  • Current Price: $3.21 (as of 2026-06-06).
  • P/E Ratio: The negative P/E (TTM: -1.54) is meaningless due to net losses.
  • P/B Ratio: 1.98. This suggests the market is valuing the company at nearly twice its book value.
  • P/S Ratio (TTM): 6.32. This is a very high sales multiple, indicating investors are paying $6.32 for every $1 of revenue.
  • Given the absence of earnings, a discounted cash flow model is impractical. Valuation must be based on a sales multiple and comparables within the clean-tech sector.
  • Considering the risks, a more conservative forward P/S range of 3.5x to 5.0x is applied to the TTM revenue of ~$710M.
  • The calculated reasonable price range is approximately $1.78 to $2.54, with a midpoint target of about $2.16.
  • The current price of $3.21 is significantly above this calculated reasonable range, suggesting the stock is overvalued based on its current financial fundamentals and sales base.
Valuation trend

Profitability

ROE TTM
-120.31%
Net margin
-238.57%
Gross margin
-34.09%
Total revenue
709.92M
AI Analysis
  • Profitability remains the most critical challenge. The company reports significant and increasing net losses, with deeply negative gross, operating, and net margins. Key return metrics like ROE and ROA are alarmingly negative, indicating the company is destroying shareholder value. Revenue growth is being achieved at an enormous cost with no visible inflection point toward positive unit economics.
  • Profitability remains the most critical challenge for Plug Power.
  • Consistent Losses: The company has reported significant and increasing net losses over the tracked periods. For FY 2025, net loss was -$1.63B, with a net margin of -238.57%. Losses have deepened year-over-year.
  • Negative Margins: Both gross margin (-34.09% for FY2025) and operating margins are deeply negative.
  • This indicates that the cost of revenue (including hydrogen production costs) far exceeds sales, a fundamental issue for the business model's current scalability.
  • Return Metrics: The Return on Equity (ROE) of -120.31% and Return on Assets (ROA) of -52.65% are alarmingly negative.
  • This shows the company is destroying shareholder value and generating negative returns on its asset base.
  • Growth vs. Profitability: While revenue grew 12.9% year-over-year to $709.92M in FY2025, this growth is being achieved at an enormous cost, with no visible inflection point toward positive unit economics in the provided data.
Profitability
2024Q42025Q12025Q22025Q32025Q4
ROE TTM---10.95%-24.82%-49.87%-120.31%
Earnings
2024Q42025Q12025Q22025Q32025Q4
Total revenue628.81M133.67M307.64M484.70M709.92M

Financial health

Debt/Asset
61.33%
Current ratio
2.31
Quick ratio
1.46
Cash ratio
1.46
AI Analysis
  • Financial condition assessment shows a mixed picture. The company maintains sufficient short-term liquidity, but its high debt-to-asset ratio of 61.33% signifies significant financial leverage and risk. The company is in a pre-profitability growth stage with consistent cash burn, posing substantial risks to long-term sustainability without continued access to capital.
  • The company's financial health shows a mixed picture based on the latest annual report (2025-12-31).
  • Liquidity: The current ratio of 2.31 and quick ratio of 1.46 indicate sufficient short-term liquidity to cover immediate obligations. This is a positive sign for operational stability.
  • Solvency: The debt-to-asset ratio of 61.33% signifies a high degree of financial leverage.
  • While this can amplify returns in good times, it significantly increases financial risk and interest burden, especially for a company not yet generating profits.
  • Overall Health: The company is in a pre-profitability growth stage.
  • While it maintains adequate liquidity, its high debt level and consistent cash burn (as evidenced by large net losses) pose substantial risks to its long-term financial sustainability without continued access to capital.
Leverage
2024Q42025Q12025Q22025Q32025Q4
Debt/Asset49.82%46.81%47.40%51.73%61.33%
Liquidity
2024Q42025Q12025Q22025Q32025Q4
Current ratio1.971.951.591.322.31