Plug Power CFO buys $250k in company stock

SLINGERLANDS, N.Y. - Plug Power Inc. (NASDAQ: PLUG), known for its hydrogen economy solutions, disclosed that its Chief Financial Officer, Paul Middleton, has shown his confidence in the company’s future by purchasing 350,000 shares of common stock. The transaction, which took place on Monday, involved an investment of approximately $250,000 at an average price of $0.7154 per share. According to InvestingPro data, this purchase comes as the stock trades near its 52-week low of $0.69, having declined over 76% in the past year.

Middleton’s acquisition aligns with Plug Power’s recent performance indicators. The company reported a Q1 2025 revenue of $133.7 million and a reduction in net cash used in operating and investing activities, down to $152.1 million from $288.3 million the previous year. InvestingPro analysis reveals the company operates with significant debt of $986.7 million and faces challenges with cash burn, though its current ratio of 1.95 indicates adequate liquidity to meet short-term obligations. This financial update comes alongside the expansion of hydrogen production capacity to 40 tons per day and growth in the electrolyzer and fuel cell sectors.

The company’s strategic moves include an executive compensation program designed to tie executive incentives more closely to shareholder interests. Earlier this year, CEO Andy Marsh elected to receive half of his 2025 compensation in stock, further aligning leadership with the company’s success. The stock currently trades at a price-to-book ratio of 0.45, suggesting potential value opportunity despite operational challenges.

Plug Power’s ecosystem encompasses production, storage, delivery, and power generation for the hydrogen industry. The company boasts a global reach, with electrolyzers across five continents and significant hydrogen production, including over 72,000 fuel cell systems and 275 fueling stations. Plug Power is also the largest user of liquid hydrogen and continues to expand its generation network to ensure a reliable, domestically produced supply.

The details of Middleton’s stock purchase were made public in a Form 4 filing with the U.S. Securities and Exchange Commission. This move by the CFO is based on a press release statement and represents a personal investment reflecting his belief in Plug Power’s financial health and growth trajectory.

In other recent news, Plug Power reported first-quarter 2025 results that did not meet analyst expectations, with revenue totaling $133.7 million, below the anticipated $138.41 million. Despite this shortfall, revenue still represented an 11.1% increase year-over-year. Adjusted earnings per share were -$0.21, missing estimates by $0.02. The company did see improvements in gross margins, which reduced their loss from -132% to -55% compared to the same quarter last year. Additionally, net cash used in operating and investing activities decreased significantly to $152.1 million from $288.3 million year-over-year. Plug Power also commissioned a 15-ton-per-day hydrogen liquefaction plant in Louisiana, boosting its U.S. hydrogen production capacity to about 40 tons per day. Citi maintained its Sell rating on Plug Power stock with a price target of $0.75, citing challenges such as potential increased costs from tariffs on Chinese imports and uncertain Department of Energy funding. However, Plug Power secured an order from a significant customer and pledged not to issue any equity this year, which may offer some positive momentum.

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