3 Reasons to Buy Plug Power Stock in April

The share price of Plug Power (NASDAQ: PLUG) has spiked nearly 80.4% over the past year (as of April 2, 2026), as early signs of a turnaround have begun to emerge. Still, the stock remains nearly 48% below its 52-week high, implying that investors are not fully convinced.

The key question now is whether the company’s hydrogen fuel cell, electrolyzer, and hydrogen infrastructure business can translate into a sustainable and profitable model.

Will AI create the world’s first trillionaire? Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need. Continue »

Here are three reasons investors may consider taking a small position in the stock in April 2026.

Although Plug Power has historically struggled with negative profit margins, that trend appears to be reversing.

In the fourth quarter of 2025, the company reported a positive gross margin of 2.4%, a 125-percentage-point improvement from a negative 122.5% in the same quarter of the prior year. Management described this as a “meaningful milestone” and an “inflection point” in its operating performance. The improvement was driven by significant reductions in service costs, improved efficiency across its hydrogen production platform, and scaling benefits as sales volumes increase.

Hence, although Plug Power is not yet profitable, the shift to positive gross margins shows that Plug’s business model is moving in the right direction.

Plug Power’s biggest concern in recent years has been its cash burn. However, even that picture is improving gradually.

The company exited fiscal 2025 with around $368.5 million in unrestricted cash. The company has signed a definitive agreement with Stream Data Centers to sell its Project Gateway site and associated electrical infrastructure for at least $132.5 million as part of a broader plan to generate over $275 million in liquidity through asset sales, release of restricted cash, and lower maintenance costs. Management expects these resources, combined with lower capital expenditures and improving margins and cash flows, to be sufficient to fund operations through 2026.

The increasing reliance on internal funding has reduced the risk of near-term shareholder dilution.

Plug Power’s recent leadership transition marks a critical shift in strategy. The company is now focused on turning its hydrogen platform into a commercially viable and profitable business, rather than simply expanding its footprint. Under new CEO Jose Luis Crespo, management has outlined a clear roadmap, targeting positive earnings before interest, taxes, depreciation, and amortization (EBITDA) by 2026, positive operating income in 2027, and full profitability by 2028.

Plug Power’s growth outlook is also becoming more predictable. The company expects fiscal 2026 revenue growth to be similar to that of fiscal 2025, since roughly 80% of its expected revenue is already visible.

A large and growing installed base also supports this visibility. Plug has deployed over 72,000 fuel cell systems across over 275 fueling stations. The company generated around $710 million in revenue in 2025, while fourth-quarter sales reached $225.2 million.

Considering the focus on execution, visible revenue, and a large installed base, Plug Power may soon succeed in translating operational improvements into robust financial performance.

Before you buy stock in Plug Power, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Plug Power wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $532,066!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,087,496!*

Now, it’s worth noting Stock Advisor’s total average return is 926% — a market-crushing outperformance compared to 185% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

See the 10 stocks »

*Stock Advisor returns as of April 7, 2026.

Manali Pradhan, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

3 Reasons to Buy Plug Power Stock in April was originally published by The Motley Fool