How Investors Are Reacting To Plug Power (PLUG) Narrowing Quarterly Losses and Improving Revenue

• Plug Power Inc. reported its second quarter 2025 results earlier this month, posting revenue of US$173.97 million and a net loss of US$227.1 million, both showing improvement compared to the same period last year.
• An interesting highlight is that the company’s basic loss per share from continuing operations narrowed to US$0.20 from US$0.36 a year prior, marking continued progress in reducing losses.
• We'll explore how Plug Power's ongoing reductions in quarterly net loss affect its broader investment narrative amid industry and policy shifts.

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Plug Power Investment Narrative Recap

To be a Plug Power shareholder, you need confidence in the long-term adoption of hydrogen solutions and the company’s ability to become profitable. While the latest quarter showed smaller losses and higher revenues, it didn’t fundamentally reshape the key short-term catalyst: faster progress toward breakeven gross margins, or its biggest risk, ongoing negative margins that prolong cash burn and liquidity challenges.

The recent expansion of Plug Power’s hydrogen generation network, especially with new plants coming online in Georgia, Tennessee, and Louisiana, ties directly into the company’s outlook for revenue growth and margin improvements. This operational milestone is central to supporting increased production capacity and could influence the pace at which Plug Power moves toward positive margins and improved cash flow.

In contrast, investors should be aware that continued negative margins and repeated cash burn could...

Read the full narrative on Plug Power (it's free!)

Plug Power's narrative projects $1.4 billion revenue and $138.9 million earnings by 2028. This requires 26.6% yearly revenue growth and a $2.14 billion increase in earnings from the current $-2.0 billion level.

Uncover how Plug Power's forecasts yield a $1.96 fair value, a 16% upside to its current price.

Exploring Other Perspectives

Sixteen fair value estimates from the Simply Wall St Community put Plug Power’s worth between US$1.49 and US$4.07 per share. While community perspectives differ, the company’s pathway to improved gross margins remains a major uncertainty that could have outsized effects on future results.

Explore 16 other fair value estimates on Plug Power - why the stock might be worth 11% less than the current price!

Build Your Own Plug Power Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Plug Power research is our analysis highlighting 2 key rewards and 4 important warning signs that could impact your investment decision.
• Our free Plug Power research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Plug Power's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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