Plug-in power supply (NASDAQ: PLUG) Stocks just keep moving forward. Today the price rose by no less than 15.5%. While these gains have narrowed to 4.7% as of 12:15 p.m. ET, the hydrogen fuel company’s shares are still up about 35% over the past week.
The company’s stock has struggled over the past year, just like stocks of other companies sustainable energy companies. However, Plug’s shares have been particularly hard hit as its cash reserves have dwindled, and the company announced last month that it has reached an agreement with an investor to potentially issue another $1 billion in shares to raise capital. But a company update this week has investors thinking things might be looking up.
A milestone for green hydrogen
Today, Plug Power announced the first shipment of liquid green hydrogen from its new hydrogen production plant in Georgia. The company said a truckload of liquid hydrogen was shipped from the plant to fuel its customers’ forklifts Walmart, AmazonAnd DIY store.
That fuel can be used to power more than 3,200 forklifts per day. Plug CEO Andy Marsh noted that “the first delivery of our green hydrogen molecule marks a critical milestone for the green hydrogen economy.”
Important for the company’s own finances is that it will replace the hydrogen that Plug had to buy at a loss on the open market in order to meet the agreements with its customers. Supply chain problems delayed the start-up of the Georgia plant, and the company was forced to purchase hydrogen as the market price rose sharply in recent months.
Investors need to listen to the CEO
In an interview this week, Marsh admitted that the company will continue to lose money on its hydrogen shipments for at least several months. Even…