FuelCell Energy and Plug Power drop 22% and 12% respectively amid profit-taking after a month of sharp gains in hydrogen equities.
Shares of FuelCell Energy (FCEL) and Plug Power (PLUG) fell sharply in early trading, down 22% and 12% respectively, as investors locked in profits following a surge in hydrogen stocks. FuelCell remains up 130% over the past month, while Plug Power has climbed 20% in the same period.
The pullback follows a period of euphoric gains, with both stocks significantly outperforming broader markets. Analyst consensus for FuelCell stands at $8.24, with no Buy ratings, while Plug Power has improved its gross margin from -55% to -13% and targets positive EBITDAS by Q4 2026.
Traders appear to be reassessing valuations after the rapid rally, though the selloff is seen as a breather rather than a reversal of the hydrogen trade trend.