Plug Power's Quarter Proved Why Investors Should Remain Apprehensive
By Tyler Crowe | More Articles | Save For Later
May 16, 2014 | Comments (5)
If there was any doubt that Ballard Power Systems (NASDAQ: BLDP ) was a better bet on the fuel cell market than Plug Power (NASDAQ: PLUG ) , this quarter helped put that arguemnt to bed. Sure, both companies struggled to grow sales, but the one thing that Ballard has been able to do is something that continues to elude Plug Power: the ability to generate a gross profit on the sales of its product. This past quarter, Plug Power's gross margins slipped all the way to a negative 42%.
This probably has investors in the company scratching their heads, and by the reaction on Wall Street, there aren't too many who were impressed with Plug Power's results, either. In the video below, find out more about whether this quarter was a hiccup before better times come and what investors should watch for in the coming months.