Plug Power poised for lowest close in three-plus years, attracts short interest
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Plug Power (NASDAQ:PLUG) -4.4% in Tuesday's trading, on track for its lowest closing price since June 2020, with Cowen analysts detecting a jump in short seller interest for Plug and other electric vehicle and alternative energy stocks in recent weeks.
Short seller interest in Plug Power (PLUG) rose 2.2% from late August to mid-September, the third largest increase, behind only a 4.8% jump in short interest for electric pickup truck maker Nikola (NKLA) and a 3.7% increase in shares of electric delivery van maker Workhorse (WKHS).
Plug (PLUG) and other alternative energy shares fell sharply on Monday, as investor sentiment was hit by high interest rates that have caused surging financing costs for growing companies that are still losing money.
Plug (PLUG) lost $236M, or $0.40/share, in its most recent quarter, on revenue of $260M, up from $151M a year earlier, but operating losses have been rising along with revenue rather than narrowing.
Truist Securities also lowered its price target for Plug (PLUG) to $8 from $9 while maintaining a Hold rating, as the company "remains a 'show me' story," particularly after it pushed away from its hydrogen production targets.
Some solar and alternative energy stocks - but not all - are adding to Monday's sharp declines: (RUN) -6.2%, (BE) -5.6%, (NOVA) -3.8%, (FSLR) -3.2%, (SPWR) -3.2%, (ENPH) -3%.

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