Shares of Plug Power (NASDAQ:PLUG) were on track for their seventh consecutive session of gains on Thursday, as the stock rose more than 4% to $2.09 in afternoon trade.
The company gained nearly 39% in the past six trading sessions. The stock closed nearly 19% higher, at $2 on Wednesday. PLUG is up nearly 26% over the past one month.
Seeking Alpha author Henrix Alex highlighted that rare insider purchases and the extension/reinstatement of tax credits have caused shares to rally in recent months.
“On the conference call, management guided full-year revenues below consensus expectations but reiterated expectations for gross margins to reach break-even levels in the fourth quarter,” noted Alex.
Alex rated the stock as Sell, stating that weak order intake and high cash usage continue to threaten Plug Power’s viability.
Seeking Alpha analysts also rated the stock as Sell.
As per the Seeking Alpha’s Quant Ratings, PLUG has a Hold rating with a score of 2.91 out of 5. The company received B+ for momentum and B for valuation, but an F grade in profitability and C- in revisions dragged down the rating.
The stock has declined over 6% so far this year, compared to over 12% gain in the broader benchmark index.
Turning to the Wall Street community, six out of 22 analysts gave BA a Buy and above rating and 12 analysts have given the stock a Hold recommendation, while four recommended Strong Sell.