Plug Power Stock Is Sliding Friday: What's Driving The Action?

Plug Power Inc (NASDAQ:PLUG) shares fell sharply Friday after President Donald Trump formally nominated former Fed governor Kevin Warsh as Federal Reserve chair, sparking fears that a more hawkish policy regime and potentially higher-for-longer interest rates could squeeze the hydrogen fuel-cell maker's capital-intensive growth plans.

Here’s what investors need to know.

• Plug Power stock is feeling bearish pressure. Why are PLUG shares down?

Why Trump’s Fed Chair Pick Matters

As a hydrogen fuel-cell company that is still unprofitable, Plug Power must continually raise capital to fund its large build-out of green hydrogen plants, fueling stations and manufacturing capacity. Higher interest rates make financing more expensive and reduce the present value of its distant cash-flow projections, which are core to the stock's valuation.

At the same time, if tighter Fed policy slows industrial activity and dampens risk appetite, Plug Power's key customers in logistics, warehousing and material-handling may delay or scale back adoption of hydrogen solutions, weakening the company's growth runway just as its funding needs peak.

This combination of rising discount rates, more cautious capital markets and potential softness in end-market demand is exactly the kind of macro shift that typically drives investors to rotate out of speculative, cash-burning clean-energy names when the broader market sells off.

100 MW Sines Project Boosts Plug Power's European Hydrogen Expansion

Plug Power recently announced the completion of 100 MW of PEM GenEco electrolyzer installations at Galp’s Sines Refinery, a significant milestone in one of Europe’s largest renewable hydrogen projects. This system is expected to generate up to 15,000 tons of renewable hydrogen annually, reducing greenhouse gas emissions by 110,000 tons CO₂e per year.

The project, which began in October 2025, is part of Plug Power’s broader European expansion strategy, which includes multi-gigawatt deployments across Spain and the U.K.

The company is also supported by a $2 billion global pipeline, indicating strong growth potential in the renewable energy sector.

Why Plug Power’s Current Trading Signals Concern Investors

Currently, Plug Power is trading 8% below its 20-day simple moving average (SMA) and 13% below its 100-day SMA, indicating short-term weakness. Shares have increased by 10.68% over the past 12 months and are currently positioned closer to their 52-week lows than highs.

The RSI is at 50.37, which is considered neutral territory, while the MACD is above its signal line, indicating bullish conditions. The combination of neutral RSI and bullish MACD suggests mixed momentum.

• Key Resistance: $2.50

Plug Power’s Business Model

Plug Power is building an end-to-end green hydrogen ecosystem — from production, storage and delivery to energy generation. The company plans to build and operate green hydrogen highways across North America and Europe, delivering its solutions directly to customers and through joint venture partners in various markets, including material handling and power generation.

Will Revenue Growth Signal Resilience?

Investors are looking ahead to the next earnings report on March 2.

• EPS Estimate: Loss of 11 cents (Up from $-1.65 year-over-year)
• Revenue Estimate: $218.70 million (Up from $191.47 million YoY)

Analyst Consensus & Recent Actions: The stock carries a Hold Rating with an average price target of $2.38. Recent analyst moves include:

• TD Cowen: Downgraded to Hold (Lowers target to $2 on Jan. 9)
• Clear Street: Upgraded to Buy (Lowers target to $3 on Dec. 31, 2025)
• Canaccord Genuity: Hold (Maintains Target to $2.50 on Nov. 20, 2025)

Top ETF Exposure

• State Street SPDR S&P Kensho Clean Power ETF (NYSE:CNRG): 2.85% Weight
• Global X Hydrogen ETF (NASDAQ:HYDR): 11.28% Weight
• Research Affiliates Deletions ETF (NASDAQ:NIXT): 1.37% Weight

Significance: Because Plug Power carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.

PLUG Shares Slide Friday Afternoon

PLUG Price Action: Plug Power shares closed Friday down 9.66% at $2.11, according to Benzinga Pro data.

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