Turnkey hydrogen solutions provider Plug Power Inc. (PLUG) recently announced that it is expanding its activities in Europe by establishing a headquarter for the region in North Rhine-Westphalia in Germany.
Following the news, shares of the company gained 1.86% on Tuesday. Further, the stock gained marginally in extended trade to close at $24.80.
The facility will span an area of about 70,000-square feet. Inside the facility will be an innovation center with engineering labs and technical support; a monitoring, diagnostics and technical support center; a green hydrogen generator with an electrolyzer infrastructure on-site; a shipping, inventor and logistics center; and training space.
The CEO of Plug Power, Andy Marsh, said, “The expansion to Europe comes as Plug faces a growing customer base abroad with the burgeoning interest in green hydrogen energy. Green hydrogen serves as an instrumental part in transitioning from our reliance on fossil fuels, and Plug is well-positioned to fill the needs of customers ready to make the change.” (See Plug Power stock chart on TipRanks)
Recently, Wolfe Research analyst Steve Fleishman initiated coverage on the stock with a Buy rating and a price target of $34. The analyst’s price target implies upside potential of 37.9% from current levels.
According to the analyst, Plug Power’s integrated business profile in the space, robust commercial customer base, first-mover advantage on volumes and strong cash flow generating capabilities and position makes the company an attractive choice for investors.
The Wall Street community is cautiously optimistic about the stock with a Moderate Buy consensus rating based on 12 Buys, 5 Holds and 1 Sell. The average Plug Power price target of $41.06 implies that the stock has upside potential of 66.5% from current levels. Shares have gained about 96.8% over the past year.