Why Plug Power Stock Surged 15.6% in February

Plug Power (NASDAQ: PLUG) stock's rebound in February may have led investors to expect better days ahead, but that doesn't seem to be the case just yet. The fuel cell stock rallied 15.6% last month, according to data provided by S&P Global Market Intelligence, but is under some pressure so far this month. So what's with this roller-coaster ride and where's Plug Power headed?

The crash in growth stocks and the stalling of President Joe Biden's Build Back Better bill that proposed billion of dollars in incentives on renewable energy hit Plug Power shares hard earlier this year. Although Plug Power guided for $900 million to $925 million in revenue in 2022 and reiterated its 2025 outlook of $3 billion in sales and 17% in operating margin, the market expected even more.

Plug Power shares, though, got a lift mid-February as peers started to report numbers, starting with Bloom Energy (NYSE: BE). Bloom Energy surprised Wall Street with 37% growth in fourth-quarter revenue and guidance of 13% to 18% growth for 2022 and 30% to 35% growth over the next 10 years. Most importantly, Bloom Energy expects to generate positive cash from operations in 2022.

Source Fool.com