Hydrogen stocks are a type of energy stock that represents companies involved in the production and distribution of hydrogen fuel. For the uninitiated, hydrogen is a clean-burning energy source that can be used in a variety of applications, including transportation, power generation, and industrial uses.
While hydrogen fuel has many potential benefits, it remains a relatively new technology. As a result, hydrogen stocks are often considered to be high-risk/high-reward investments. Hydrogen stocks tend to be more volatile than the overall stock market, and they can be sensitive to changes in government policies and regulations. For these reasons, hydrogen stocks are not suitable for all investors. However, for investors with a high tolerance for risk, hydrogen stocks may offer the potential for significant rewards. If this has you interested in looking at hydrogen stocks, check out these three names in the stock market today.
Hydrogen Stocks To Buy [Or Avoid] Right Now
- Plug Power Inc. (NASDAQ: PLUG)
- Ballard Power Systems Inc. (NASDAQ: BLDP)
- FuelCell Energy Inc. (NASDAQ: FCEL)
Plug Power Inc. (PLUG)
Let’s start with taking a look at Plug Power Inc. (PLUG). For starters, Plug Power is a leading provider of hydrogen fuel cell technology for the transportation industry. The company’s products are used in a variety of applications, including forklifts, airport ground support equipment, and material handling vehicles.
PLUG Recent Stock News
At the end of August, Plug Power announced a hydrogen supply deal with Amazon.com, Inc. (NASDAQ: AMZN). In detail, the deal includes Plug Power to supply 10,950 tons per year liquid green hydrogen to Amazon starting in 2025. This is an effort to help decarbonize Amazon’s operations as part of its commitment to be net-zero carbon by 2040.
In the release, Andy Marsh, CEO of Plug Power said this in the company’s news release, “Landing a green hydrogen supply deal with a customer like Amazon validates our multi-year investment and strategic expansion into green hydrogen. We are excited to expand our relationship with Amazon in exploring the use of other hydrogen applications, such as fuel-cell electric trucks and fuel-cell power generation stations that could provide electricity to Amazon buildings and the deployment of electrolyzers in fulfillment centers.”
In the same month, the company also reported its second quarter 2022 financials results. In the report, PLUG reported a loss of $0.30 per share, with revenue of $151.3 million for the quarter. What’s more, the company reported a 21.4% increase in revenue during the same period, a year prior.
PLUG Stock Chart
In the last month of trading action, shares of PLUG stock have rebounded over 5% as of Monday’s closing bell. PLUG stock closed Monday’s trading session at $27.71. All in all, do you think PLUG stock is a good hydrogen stock to invest in [or avoid] right now?
Ballard Power Systems (BLDP)
Next on the list, is Ballard Power Systems Inc. (BLDP). In short, Ballard Power Systems is a Canadian company that manufactures proton exchange membrane fuel cells. The company’s focus is to deliver fuel cell power for a sustainable planet. Its zero-emission PEM fuel cells are enabling the electrification of mobility, including buses, trains, commercial trucks, and even marine vessels.
BLDP Recent Stock News
Just last month, Ballard Power Systems (BLDP) announced its second quarter 2022 financial results. In them, they reported a loss of $0.15 per share and revenue of $20.9 million. This is in comparison with analysts’ consensus estimates, which was a loss of $0.12 per share, along with revenue of $24.4 million.
In the news release, the company’s CEO Randy MacEwen had this to say to shareholders, “We continue to see policy momentum across the globe to support our vision of decreasing our planet’s emissions. We believe our product offering will make a meaningful impact on the energy transition by enabling our customers with zero emission solutions. This vision is at the forefront of our continued innovation and investment in our business and product offering.”
BLDP Stock Chart
Shares of BLDP stock have been beaten down by over 40% year-to-date. Meanwhile, as of Monday’s closing bell BLDP is currently trading at $7.31 per share, which is -62.81% from its 52-week high of $19.66 per share. With this in mind, is now a good time to add BLDP stock to your list of undervalued hydrogen stocks to watch now?
FuelCell Energy Inc. (FCEL)
Finishing this off, we have FuelCell Energy Inc. (FCEL). FuelCell Energy Inc is a fuel-cell power company. In brief, the company designs, manufactures, sells, installs, operates, and services fuel cell products, which efficiently convert chemical energy in fuels into electricity through a series of chemical reactions.
FCEL Recent Stock News
This month, FuelCell reported its 3rd quarter 2022 financial results. Diving in, the company posted a loss of $0.08 per share and revenue of $43.1 million for Q3 2022. This is versus wall street’s consensus estimates for the quarter, which was a loss of $0.06 per share, and revenue of $35.8 million. Moreover, the company was able to increase revenue by 60.7% during the same period, in 2021.
“For the third quarter, we achieved our strongest quarterly revenue in five years, reflecting product sales and continued progress on our Powerhouse business strategy,” said Mr. Jason Few, President and CEO. He continued, “This year, we have strengthened our project management team as well as invested in digitization tools to enhance project management effectiveness. We continue to advance our strategic agenda in terms of infrastructure, solutions, and talent to support our medium- and long-term goals.“
FCEL Stock Chart
Aside from that, shares of FCEL stock closed Monday’s trading action at $4.03 per share. While the stock is down over 30% so far in 2022. What’s more, as of Monday, FuelCell stock has fallen approximately -65.34% from its 52-week highs of $11.63 per share. Do you think now could be a good time to buy FCEL stock at its current market value?