Post-Hydrogen Surge: Anticipating the Future for Nel ASA and Plug Power
Rewritten Article:
Kickstarting 2023: A Hydrogen Stock Showdown - To Hold or To Sell?
Let's dive into the new year's performances of Nel ASA and Plug Power, two key hydrogen stocks. But which one's the safer bet - hold or sell? Let's take a closer look.
Nel ASA Stock Showdown
Nel ASA's stocks started the year with a bang, skyrocketing 16% and refreshing the 200-day line. Chart-wise, it's looking peachy for the Norwegian hydrogen stock. However, if we dig deeper, the picture seems gloomier. Experts expect the loss per share to hover around 3.8 cents in 2023, after 4.1 cents in 2022. There's no PE ratio or dividend yield mentioned. While revenue forecasts predict a surge from 80.52 million euros to 141.7 million euros, analysts tread with caution: eight recommend buying, ten are on the fence, and eleven advise against it. The average price target of 12.79 Norwegian Kroner represents a 21.2% drop from the current price, hinting investors might want to collect profits or take a strategic entry point.
Plug Power Stock Showdown
The situation looks different for Plug Power, with the American stock still struggling to conquer the 200-day line, chart-wise. Nevertheless, it's gained an impressive 41% this year, making some investors eager to hop on board. Twenty-three analysts advise buying, nine favor holding, and none suggest selling. With an average price target of $27.50, investors can expect a whopping 57.7% boost. Revenue is expected to surge from 761 million euros to 1.27 billion euros, and the loss per share might decrease from 94 cents to 51 cents.
In the face of these figures, risk-takers might see an opportunity to leap onto the Plug Power bandwagon and use a 200-day line stumble as an entry point.
By the way, both Nel ASA and Plug Power belong to the BÖRSE ONLINE Green Future Index.
Conflict of Interest Disclaimer: The financial instrument's price is derived from an index used as the underlying. Boersenmedien AG has developed this index and holds the rights to it. Boersenmedien AG has concluded a cooperation agreement with the issuer of the securities in question, under which it grants the issuer a license to use the index. In this context, Boersenmedien AG receives remuneration from the issuer.
Enrichment Data Analysis:
Nel ASA and Plug Power Stock Performance and Investor Advice:
Historically, Nel ASA faced a significant decline of 50.27% in 2023. This downfall might be because of challenges in the hydrogen market, such as difficulties in establishing viable business models for projects. For the future, analysts predict a potential drop of up to 22% in Nel ASA's stock price by 2025 due to challenges like the cancellation of a major project with Statkraft which resulted in a stock price drop of nearly 7%. Despite these challenges, Nel ASA remains upbeat due to strong order intake and strategic investments in new technologies.
Investors should consider diversifying their investments across multiple hydrogen players to mitigate risks and maintain a long-term perspective on Nel ASA, as its focus on innovation and strategic partnerships may yield future benefits.
Plug Power is a leading player in the hydrogen fuel cell market, albeit without specific 2023 performance data provided. Analysts predict a potential increase of 57.7% for Plug Power by 2023, driven by factors like robust order intake, strategic partnerships, and the ability to innovate and adapt to changing market conditions.
Investors should research Plug Power's technological advancements and partnerships, understand broader hydrogen market trends including regulatory support and demand for fuel cells, and diversify their investments across the hydrogen sector to mitigate risks.
- In the context of the hydrogen market and investing, some see an opportunity to invest in Plug Power given its impressive 41% gain this year, the advice of 23 analysts to buy, a projected 57.7% increase, and its focus on technological advancements and strategic partnerships.
- Given the predicted drop of up to 22% in Nel ASA's stock price by 2025 due to challenges like the cancellation of a major project, and the sense of long-term potential from its focus on innovation and strategic partnerships, investors could consider diversifying their investments across multiple hydrogen players rather than solely relying on Nel ASA.
