Why Plug Power Stock Is Soaring Today

Key Points

• A new research report predicts a 21.2% annual growth rate for the global fuel cell market through 2029.

• The company struggled with stagnant sales and continues to operate at a significant loss.

• 10 stocks we like better than Plug Power ›

Shares of Plug Power (NASDAQ: PLUG) are jumping on Monday, up 7.3% in afternoon trading. The move comes as the S&P 500 and Nasdaq Composite were up 0.5% and 0.7%, respectively.

Plug Power, which develops hydrogen-based fuel cell technology, is seeing its stock move after a positive industry research report was released Friday.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Big growth could be coming for the market

The firm BCC Research released its latest report on the global fuel cell market, showing a projected compound annual growth rate (CAGR) of 21.2% through 2029. The report sees three main factors driving the growth: increasing need for uninterrupted power supply by critical industries like healthcare, a growing desire to reduce carbon emissions, and a shift to green sources for the maritime industry.

While research reports such as these should never be taken as fact, their rosy outlook was enough to help boost Plug Power's stock.

Image source: Getty Images.

Plug is still a risky bet

The projected growth in the overall industry is encouraging, but investors should know that Plug is seriously struggling. The company's sales stagnated and declined for some time, with the notable exception of last quarter, and it is still burning cash and operating at a significant loss -- more than $2 billion last year.

There has been some positive news as of late, including a renegotiated deal that will see the company reduce its fuel costs. For investors with a high risk tolerance, Plug could be a speculative turnaround play, but I would caution most investors to stay away from Plug Power.

Should you invest $1,000 in Plug Power right now?

Before you buy stock in Plug Power, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Plug Power wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,056,790!*

Now, it’s worth noting Stock Advisor’s total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of July 21, 2025

Johnny Rice 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.