Lawsuit filed for Investors who lost money with shares of Plug Power Inc. (NASDAQ: PLUG)

An investor, who purchased shares of Plug Power Inc. (NASDAQ: PLUG), filed a lawsuit over alleged violations of Federal Securities Laws by Plug Power Inc. in connection with certain allegedly false and misleading statements.

Investors who purchased shares of Plug Power Inc. (NASDAQ: PLUG) have certain options and for certain investors are short and strict deadlines running. Deadline: May 21, 2024. NASDAQ: PLUG investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Lahtam, NY Plug Power Inc. develops hydrogen and fuel cell product solutions in North America, Europe, Asia, and internationally.Plug Power Inc. offers its products to retail-distribution and manufacturing businesses through a direct product sales force, original equipment manufacturers, and dealer networks.
Integral to Plug Power Inc's business are the green hydrogen production plants that the Company operates in multiple locations throughout the U.S. and Europe. These plants are at various stages of development, from operational to under construction. Plug Power Inc's strategy to maintain growth and profitability involves expanding production capabilities at the Company's already completed green hydrogen plants while finishing construction of new plants. The Company has struggled to execute these hydrogen plant build-out and construction efforts on budget and on time and, as a result, is frequently tasked with identifying additional sources of capital to fund its operations.

Then on November 9, 2023, Plug Power Inc announced its third quarter 2023 results, including third quarter GAAP earnings-per-share of -$0.47, missing consensus estimates by $0.16, and third quarter revenue of $198.71 million, missing consensus estimates by $23.02 million. In discussing these results, Plug disclosed that its "2023 overall financial performance has been negatively impacted by unprecedented supply challenges in the hydrogen network in North America", including, inter alia, "severe hydrogen shortages", prompting multiple analyst downgrades.

On November 16, 2023, Citi downgraded Plug Power Inc's stock from a "Buy" to a "Neutral" rating, as well as slashed its price target on the stock from $12.50 to $5.00, noting, among other things, that Plug management's "subpar execution has led the company into liquidity challenges" and, accordingly, Plug will require $500 million of cash over the next six months.

On December 6, 2023, Morgan Stanley downgraded Plug Power Inc's stock from an "Equal Weight" to an "Underweight" rating, as well as slashed its price target on the stock from $3.50 to $3.00, citing liquidity concerns and worsening hydrogen economics.

On January 11, 2024, Susquehanna downgraded Plug Power Inc's stock from a "Positive" to a "Neutral" rating, as well as cut its price target on the stock from $5.50 to $4.00, citing "delays related to both PLUG's green hydrogen production facility build-out and securing external funding sources to finance its growth plans[.]"

On January 16, 2024, Plug announced that it would provide its annual business update on January 23, 2024.

Then, on January 17, 2024, Seeking Alpha reported that "the market appears to have reset expectations ahead of [Plug]'s planned January 23 business update with CEO Andy Marsh and CFO Paul Middleton." For example, Seeking Alpha noted that "Morgan Stanley analyst Andrew Percoco maintained his Underweight rating and $3 price target, anticipating downside to Plug's (PLUG) $2.1B revenue and 25% gross margin guidance for FY 2024 announced during its Q4 earnings call"; that "[t]he analyst thinks further delays at Plug's (PLUG) green hydrogen production facility in Georgia could be announced, which would add to pressure on the growth and profitability profile of the company's green hydrogen business model"; and that "Percoco also pointed to an increasing probability that Plug (PLUG) will need to raise $1B-$1.5B of equity and equity-like capital to fund its highly capital intensive business to provide itself runway to improve its margin and cash flow profile, which is not fully baked into the current share price."

Shares of Plug Power Inc. (NASDAQ: PLUG) declined from $13.17 per share in July 2023 to as low as $2.26 per share on January 18, 2024.

The plaintiff claims that between May 9, 2023 and January 16, 2024, the Defendants made false and/or misleading statements and/or failed to disclose that Plug Power Inc. overstated its ability and/or efforts to mitigate the negative impacts that, inter alia, supply chain constraints and material shortages could have or were having on the Company's hydrogen business, as well as the sufficiency of its cash and capital to fund its operations, that Plug Power Inc. continued to experience delays related to its green hydrogen production facility build-out plans, as well as in securing external funding sources to finance its growth plans, that Plug Power Inc. downplayed the true scope and severity of all the foregoing when these issues were eventually revealed, that as a result of all the foregoing, Plug also overstated the near-term prospects of its hydrogen production operations, as well as the viability of expanding those operations, and that as a result, the Company's public statements were materially false and misleading at all relevant times.

Those who purchased shares of Plug Power Inc. (NASDAQ: PLUG) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.