Plug Power downgraded to Neutral at Roth MKM on margin challenges

Roth MKM analyst Craig Irwin downgraded Plug Power to Neutral from Buy with a price target of $7.50, down from $13, after the company reported positive Q2 revenue, but with gross margins and EBITDA that was “materially below” forecasts. Gross margin challenges in Q2 are “unlikely to resolve quickly and point to materially higher cash plant commissioning costs than previously considered,” says the firm, which notes it is lowering estimates “materially,” primarily on gross margins.