PLUG - FuelCell Energy - Abysmal Quarterly Performance Puts Core Business Model In Doubt

• Company reported just another disappointing quarter with negative gross margins and massive cash burn.
• Core generation portfolio continues to perform well below expectations with outsized maintenance requirements resulting in record losses for the quarter.
• Assuming no material asset sales or refinancing of projects currently under construction, the company will have to return to the capital markets next year at the latest point.
• While FuelCell Energy continues to advance new technologies like carbon capture and hydrogen generation, commercial revenues won't be achieved for the foreseeable future.
• Given the poor shape of the company's core generation portfolio and highly elevated valuation, there's little reason to own the common shares at current levels despite the recent pullback.

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