Plug Power Inc (NASDAQ:PLUG) stock surged 12.60% during Monday’s pre-market trading session, extending Friday’s gain amid positive analyst updates and significant operational developments.
Analysts' Upgrade, AI Energy Hopes Fuel Plug Power Rally
The surge was driven by H.C. Wainwright's move to reaffirm its Buy rating on Plug and raise its price target to $7.00 from $3.00. The firm noted that rising electricity costs and increasing backing for nuclear power are creating a supportive environment for the green hydrogen sector, boosting its cost competitiveness.
The analyst note emphasized that Small Modular Reactors could deliver stable, carbon-free energy for electrolysis, helping make hydrogen production more reliable and cost-efficient.
Analysts' optimism follows Plug's delivery of its first 10-megawatt electrolyzer to Galp's Sines refinery in Portugal—a key milestone in a major European green hydrogen project—along with rising investor interest in hydrogen's role in powering AI data centers, both of which have lifted the stock's performance.
On Friday, Plug Power’s stock soared by over 34%, reaching $3.81. This surge is part of a larger trend, with the stock having risen by nearly 165% over the past month.
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AI Data Centers and European Expansion Fuel Plug's Rally
The recent surge in Plug Power’s stock is not an isolated event. Earlier this month, the company’s shares experienced another significant surge, driven by the immense energy demands of AI-driven data centers. Investors are banking on hydrogen fuel cell providers like Plug to deliver the scalable, green power required for this technological revolution.
Moreover, the company’s European expansion has been a strategic move to counter the potential impact of Donald Trump’s tax overhaul, which threatens to crimp the U.S. hydrogen boom. The company’s move to Europe has been well received by the market, as evidenced by the recent surge in its stock price.
According to Benzinga Edge Stock Rankings, Plug has a momentum score of 94.83% and a growth rating of 14.82%. Click here to see how it compares to other leading tech companies.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
