Plug Power (PLUG) Q3 Earnings Preview: Hydrogen Play Faces Critical Test

Plug Power prepares to report third-quarter earnings amid mixed signals from Wall Street. Analysts anticipate a loss of $0.13 per share, representing a 48% year-over-year deterioration, with revenues projected to slip 2.1% to $170 million. The hydrogen fuel cell specialist has consistently missed estimates in recent quarters, casting doubt on its ability to capitalize on growing demand for clean energy solutions.

Second-quarter results showed promise—21% revenue growth to $174 million, driven by GenDrive fuel cells and electrolyzer sales reaching $45 million. Gross margins improved dramatically from negative 92% to negative 31%, suggesting operational efficiencies are taking hold. Policy tailwinds from hydrogen production tax credits and surging electricity demand from AI data centers could provide long-term catalysts.

Market participants remain divided. While the company's positioning in the hydrogen economy aligns with global decarbonization trends, persistent losses and execution risks temper enthusiasm. The upcoming report will reveal whether Plug Power can translate legislative support and technological advantages into sustainable financial performance.