SPWR - Analyst Cautions On Plug Power And SunPower Flags Financing Concerns Slow Recovery | Benzinga
Susquehanna analyst Biju Perincheril downgraded Plug Power, Inc (NASDAQ: PLUG) to Neutral from Positive, lowering the price target to $4.50 from $9.00.
The analyst downgraded the stock owing to to delays related to both PLUG's green hydrogen production facility buildout and securing external funding sources to finance its growth plans.
Given these delays, the analyst tempered FY'24 and FY'25 revenue estimates by 10-15%.
Additionally, the recent Treasury guidance on production tax credits was less advantageous than expected and could cause PLUG to shift locations on future production facilities.
While the analyst applauded the company's end-to-end solutions for the hydrogen ecosystem, moved it to the sidelines until there was more clarity on the financing front and more progress on the gross margin front.
Specifically for 4Q'23, the analyst lowered the revenue forecast, citing that some sales have slipped into '24.
The analyst now sees ...