Shares of Plug Power Inc (NASDAQ:PLUG) are experiencing a pullback on Tuesday, potentially fueled by investors taking profits following a marked rally on Monday. The surge was driven by reports that the U.S. Senate has extended a critical clean energy tax credit.
What To Know: Monday’s rally started after a revised Senate budget bill unexpectedly pushed the construction start deadline for the 45V clean hydrogen production tax credit by two years, to December 31, 2027.
This extension, which offers up to $3 per kilogram for clean hydrogen, is seen as a lifeline that could revive numerous projects previously at risk of cancellation.
The news marks a dramatic reversal for Plug Power. Its stock had tumbled earlier in the month on fears that these incentives, established under the Inflation Reduction Act, might face an accelerated phase-out.
While a recovery had begun last week after executive participation in investor conferences, Monday's news provided a more substantial catalyst, signaling potentially renewed stability for the domestic hydrogen sector and fueling the rally.
Analyst Ratings: Before Monday’s major announcement, a wave of analyst updates in May 2025 signaled growing caution around Plug Power. While formal ratings were largely unchanged, firms significantly cut their price targets. Jefferies, for instance, maintained its Hold rating but slashed its price target nearly in half, from $1.70 to 90 cents.
This sentiment was echoed by others, with Morgan Stanley and Piper Sandler reducing their targets to 50 cents and 80 cents, respectively, and Wells Fargo lowering its target to $1.00.
Price Action: According to data from Benzinga Pro, PLUG shares are trading lower by 3.3% to $1.43 Tuesday morning. PLUG has a 52-week high of $3.34 and a 52-week low of $0.69.
Read Also: Plug Power Analyst Ratings and Price Targets
How To Buy PLUG Stock
Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.
For example, in Plug Power’s case, it is in the Industrials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
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