Plug Power Inc. is scheduled to report earnings before Tuesday’s open. The stock hit a record high of $1,565/share in 2000 and is currently trading near $29/share. The stock is prone to big moves after reporting earnings and can easily gap up if the numbers are strong. Conversely, if the numbers disappoint, the stock can easily gap down. To help you prepare, here is what the Street is expecting:
The company is expected to report a loss of ($0.08)/share on $76.87 million in revenue. Meanwhile, the so-called Whisper number is a loss of ($0.09)/share. The Whisper number is the Street’s unofficial view on earnings.
A Closer Look At The Fundamentals:
The company is still losing money which is not ideal but it has managed to grow its revenue nicely in most of 2020. The company designs fuel cell systems for industrial off road and stationary power markets around the globe. That is a very big market and that demand could translate into the bottom line in the future.
A Closer Look At The Technicals:
Technically, the stock enjoyed a huge move in 2020 but fell out of favor in early 2021 as it pulled back to consolidate that move. The bulls want to see it trade above $34.38 and then continue to rally.
Pay Attention To How The Stock Reacts To The News:
From where I sit, the most important trait I look for during earnings season is how the market and a specific company reacts to the news. Remember, always keep your losses small and never argue with the tape.