FuelCell Energy’s discounted $225 million stock offering triggers a 14% drop, dragging Bloom Energy down 8% while Plug Power remains stable.
FuelCell Energy (NASDAQ:FCEL) shares plunged 14% after pricing a $225 million stock offering at $21 per share, a steep discount to recent levels. The offering included 10.7 million shares, diluting existing shareholders and sparking a broader sector selloff.
Before the drop, FCEL had surged 255% year-to-date and traded at 10 times sales despite negative EBITDA. Bloom Energy (NYSE:BE) fell 8% to $247.53 in sympathy, while Plug Power (NASDAQ:PLUG) dipped just 1% to $2.45, reflecting its separate $275 million hydrogen asset monetization strategy.
The divergence highlights market differentiation, with Plug Power avoiding the dilution-driven downturn affecting its peers. FuelCell Energy’s stock last traded at $22.43, well below last week’s highs.