Plug Power Inc price prediction: Plug stock closes the day in the red despite BAE partnership

NASDAQ:PLUG has extended its downward trajectory despite adding another lucrative partnership to its growing portfolio of clients. On Thursday, as the markets whipsawed back and forth throughout the day, Plug dropped by 2.04% and closed the trading session at $28.27. Plug is trading significantly below both its 50-day and 200-day moving averages, and a quick glance at the chart shows what pain the shareholders have been going through since the stock hit an all-time high of $75.49 in late January. Plug is rumored to be setting a date to report its quarterly earnings call during the second week of May.

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Plug’s stock actually popped out of the gates on Thursday, surging by over 5% before giving back all of those gains and then some by the closing bell. The catalyst was a new agreement with BAE Systems (OTC:BAES.Y) a British defense contractor that is looking to develop a hydrogen fueled bus system for North America. While the news was initially well received by investors, the news quickly sold off in the afternoon, signalling that perhaps Wall Street shouldn’t be as bullish as it initially believed.

PLUG Price forecast

One hurdle Plug may have to overcome before shares turn around is the financial restatement errors that were reported in March. Expect management to address the situation in one form or another at the earnings call in May, and if it appears that nothing about the company has intrinsically been changed by the restatement, investors sentiment could turn around on Plug’s stock.