If you're looking for a stock that will provide stability and remove volatility from your portfolio, turn around now. Plug Power (NASDAQ: PLUG) is not for you. Plug Power, an industry leader in hydrogen fuel cell technology, is truly only suitable for investors with a longer time horizon and those who have the stomach for high-risk, high-reward stocks.
A rocky road for Plug
Plug Power stock has performed poorly for investors in the past five years, losing more than 90% of its value in the past half-decade as of Dec. 16. That could change in the coming years, however. Plug recently secured outside capital and now has enough runway to stay the course on its mission to produce an end-to-end hydrogen ecosystem.
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If Plug is successful in capturing the hydrogen market from generation to storage and delivery, the return on a $1,000 investment could be spectacular. It's estimated that the green hydrogen market could be worth as much as $74 billion by 2032.
Plug's revenue is growing, and the company generated $484.7 million through the first nine months of 2025. The operating losses are adding up, too, though, and that's where investing in Plug is tricky. The company needs to focus on reducing cash burn and continuing to further its global reach to succeed in the coming years.
The hydrogen market is heating up
A $1,000 investment in Plug Power today is really only worth it if you believe the hydrogen market is going to reach its full potential. The bull case is that if any company is positioned to capture a considerable portion of the market share, it's Plug Power. It's proven itself commercially viable, deploying more than 72,000 fuel cell systems and 275 fueling stations around the world. Plug is also partnered with major companies such as Walmart, Amazon, Home Depot, BMW, and BP, giving it a leg up on competitors.
The bear case is that if hydrogen demand is weaker than anticipated or if Plug fails to control costs, the fuel cell maker will eventually run out of energy.
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Catie Hogan has positions in Plug Power. The Motley Fool has positions in and recommends Amazon, Home Depot, and Walmart. The Motley Fool recommends BP and Bayerische Motoren Werke Aktiengesellschaft. The Motley Fool has a disclosure policy.