Plug Power Stock Slumped 25% in November. Should You Buy It Now?

Shares of Plug Power (NASDAQ: PLUG) slumped 25.3% in November, according to data provided by S&P Global Market Intelligence. Even after the big drop, the hydrogen stock is up over 120% in just six months, as of this writing.

Is this an opportunity to buy Plug Power stock, or should you remain on the sidelines?

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Plug Power is facing setbacks

Plug Power has been the frontrunner in green hydrogen, and its contract book has grown steadily over the years. The company has deployed more than 72,000 fuel-cell stationary power systems over the past two decades or so and has expanded its business into electrolyzers and green hydrogen production, becoming a vertically integrated player in green hydrogen.

Plug Power's path to profitability, however, still remains uncertain, and investors were reminded of the harsh truth yet again last month when the company reported its numbers. Worse yet, it announced something that investors didn't expect to hear.

Plug Power's revenue rose only 2% year over year in the third quarter. Worse yet, its gross loss widened by 20% to $120 million. This is the same company that expects to break even on its gross margin on run rate basis in the fourth quarter of 2025.

To top it all, Plug Power has suspended its expansion program for green hydrogen production. Plug Power planned to rapidly ramp up production of green hydrogen to cut costs by reducing its reliance on third-party purchases. These plans, however, hinged on a $1.66 billion loan from the Department of Energy. The loan guarantee, however, was awarded under the Biden administration, and Plug Power's latest announcement confirms that President Donald Trump has paused the funding. It's a massive blow for the company.

Read this before you invest in Plug Power

Right when things appear to be headed in the right direction for Plug Power, something else goes awry. Plug Power achieved several milestones in 2025, and analysts and investors alike became increasingly optimistic about its prospects. H.C. Wainwright analyst Amit Dayal even upped his price target on Plug Power stock to $7 per share from $3 a share in October.

Currently, I see little reason to be excited about Plug Power stock, except for the impending arrival of a new CEO in March 2026. That's still some months away, though, and it remains to be seen how successful Jose Luis Crespo, who has been with the company since 2014, will be in steering Plug Power toward profitability. For now, there are bigger reasons to forget Plug Power stock than to buy it despite its recent sharp price drop.

Neha Chamaria has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.