Why Is Plug Power Stock Rising Today?

Plug Power stock NASDAQ:PLUG

Plug Power Stock (NASDAQ:PLUG)

Plug Power stock (NASDAQ:PLUG) rose 3.9% on the first trading day of the month, and Tuesday saw more of the same bullish action from investors. At 10:44 a.m. ET, Plug Power stock had risen by 6.9%.

Even if one expert has taken a pessimistic stance on Plug Power stock, Tuesday’s upswing in the market has encouraged more investors to buy Plug Power stock.

What’s the Reason?

Plug Power stock has risen along with the leading indices after they both increased on Monday and have continued their upward trend in early trade on Tuesday. In September, Plug Power’s shares dropped 25% as investors fled riskier growth businesses in anticipation of higher interest rates and a possible economic slowdown. This suggests that investors’ concerns are diminishing and are again willing to consider growth equities.

However, given the interest shown by Wall Street, Plug Power’s gain on Tuesday stands out. Citigroup analyst P.J. Juvekar reduced his price objective for Plug Power stock from $36 to $28 but maintained a buy recommendation for the company. As a result of this, Juvekar has lowered his price objective for Plug Power shares. However, they are still expected to increase in value by more than 28% from Monday’s closing price of $21.82.

What Should You Do Now?

As of 10:45 a.m ET on Tuesday, the S&P 500 had gained 2.4%, so it’s not unexpected that Plug Power went up despite Citigroup lowering its price target. Investors in Plug Power should be aware that the fuel cell stock is subject to significant dangers despite the market’s recent upswing. Before buying shares, investors should definitely do their homework.

Featured Image-  Megaoixl @ Rafaelhenriquepress

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About the author: I'm a financial journalist with more than 1.5 years of experience. I have worked for different financial companies and covered stocks listed on ASX, NYSE, NASDAQ, etc. I have a degree in marketing from Bahria University Islamabad Campus (BUIC), Pakistan.