Why TD Cowen Is No Longer Bullish on Plug Power Inc. (PLUG)

Plug Power Inc. (NASDAQ:PLUG) is among the overlooked penny stocks to invest in. On January 9, TD Securities trimmed its price target on Plug Power Inc. (NASDAQ:PLUG) to $2 from $4 and downgraded the stock from Buy to Hold. According to the firm, uncertainty continues to build around demand, and risks tied to execution exist for the company’s prime offerings.

With worries regarding the ramp-up in electrolyzers and material handling, which the firm believes is materializing slower than previously thought, TD Cowen says it has been “on the wrong side of the PLUG trade for some time.” Despite anticipating gross margin improvement in 2026 and EBITDA breakeven in 2027, the firm considers it wise to remain on the sidelines. Another headwind highlighted is the lack of clarity on how Plug Power Inc. (NASDAQ:PLUG) will achieve positive free cash flow.

Overall, Plug Power Inc. (NASDAQ:PLUG) has mixed analyst sentiment, with 28% of analysts covering the stock assigning a Buy rating and slightly more than half holding a cautious view as of January 21. The range between the high and low consensus price targets is also wide, with the consensus 1-year median price target of $2.25 implying about 1.35% upside.

Plug Power Inc. (NASDAQ:PLUG) is a New York-based developer of hydrogen fuel cell product solutions. Founded in 1997, the company offers GenDrive, GenSure, Progen, and GenFuel, among others.

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