Plug Power, Inc. ( PLUG ) shares are trading lower on Tuesday after the company released a mixed third-quarter earnings report after Monday’s closing bell.

Earnings Snapshot

Plug Power ( PLUG ) reported quarterly losses of 12 cents per share, beating the analyst estimates of 13 cents. Quarterly revenue came in at $177.05 million, which missed the Street estimate of $179.53 million.

Also Read: Plug Power Expands Global Hydrogen Footprint With 5 GW Electrolyzer Projects

Management reaffirmed plans to approach gross-margin breakeven by the end of 2025.

They also noted that EBITDA positive remains a target for the second half of 2026, with the possibility of achieving it sooner if demand accelerates.

Analyst View

JP Morgan analyst Bill Peterson maintained a Buy rating on the stock. He writes that earlier, Plug confirmed it will not move forward with its DOE loan for the Texas plant, consistent with his view.

The analyst added that he expects the DOE loan would likely not materialize due to repeated delays and recently renegotiated fuel contracts.

Peterson notes that the stock initially rose on the news but later gave back gains despite the upside that Plug will now focus on initiatives to boost liquidity by $275 million, including selling electricity rights at its New York plant to a data center developer.

The analyst expects the stock to see further volatility, especially if linked to the broader data center theme.

Amid challenges in the U.S. green hydrogen sector, Plug is taking a cautious approach by prioritizing liquidity and focusing on margin improvements in equipment, fuel, and services, notes the analyst.

Peterson further added that management’s target of breakeven gross margins by year-end seems more achievable in 2026, with free cash flow likely shifting to 2027.

The analyst says that several quarters of sustained gross margin positivity will be needed to signal an accurate turnaround for the company.

According to Benzinga Pro, PLUG stock has gained over 28% in the past year. Investors can gain exposure to the stock via the Global X Hydrogen ETF .

Price Action: PLUG shares are down 4.88% at $2.430 at the last check on Tuesday.

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