Hey Global Investor, here’s what you need to know before the US markets open.
Market Snapshot 📈
S&P 500 (Tuesday Close) 3,635.41 +57.82 (1.62%)
NASDAQ (Tuesday Close) 12,036.78 +156.15 (1.31%)
FTSE 100 (5 PM IST) 6399.01 -33.16 (0.51%)
NIFTY 50 (Today’s Close) 12,858.40 −196.75 (1.51%)
USDINR (5 PM IST) 73.92 (1 Year +3.33%)
What Is The Color Of Hydrogen?
Plug Power is looking to expand it capacities and build a solid green-hydrogen fuel cell infrastructure in the US
Background: In the cavernous warehouses of Amazon, Walmart, Home Depot, and DHL, silent forklifts and other working vehicles do the heavy lifting. These hydrogen-powered vehicles have overtaken battery-powered ones in these warehouses – they’re faster to refuel, and more durable. The company that is working on building this clean hydrogen economy is Latham, NY-based Plug Power.
Amazon and Walmart, two of the company’s biggest clients, have taken to Plug’s products. It didn’t hurt that the fuel-cell maker offered both clients stock warrants in exchange for every $50M purchase. Plug’s rising stock has only sweetened the deal for them.
What Happened? The company currently sources low-cost renewable power from partners such as Apex Clean Energy and Brookfield Renewable. On Tuesday, Plug Power announced a successful raising of $1B to fund the building of a US-wide network of green hydrogen production facilities.
Plug’s hydrogen source thus far has been natural gas, which generates a considerable carbon footprint. Plug’s Gigafactory, which is expected to come online in 2021, will expand the production of fuel cells and green electrolyzers. By 2024, it aims to produce around 1.5 GW of fuel cells and about 500 MW of electrolyzers per year. These plans have received a thumbs up from investors and the company has been one of the standout stocks of the year.
Plug Power plans to expand from forklifts to heavy-duty vehicles to serve ports across the US and Europe and offer fuel cells to run distribution hubs and data centers. Although hydrogen-powered vehicles still playing catch-up with battery-powered EVs, there’s plenty of room for growth here as well. Plug Power is just about starting to power up!
Market Reaction: Plug Power’s stock has risen 600% YTD. It closed Tuesday at $26.72, down 0.56%.
Company Snapshot 📈
PLUG $26.72 -0.15 (+0.56%)
Analyst Rating (9 Analysts) BUY 89%, HOLD 11%, SELL 0%
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Later Today 🕒
- 6.00 PM IST: Initial jobless claims (regular state program, SA)
- 6.00 PM IST: Continuing jobless claims (regular state program, SA)
- 6.00 PM IST: Gross Domestic Product (Revision)
- 7.30 PM IST: Consumer sentiment index (final)
- Before Market Open: Deere & Co Earnings (DE)
Fun Fact of The Day 🌞
“Jingle Bells” Was Originally a Thanksgiving Song