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    Why Plug Power Stock Popped Today

    The Motley Fool·08/12/2026 01:51:14
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    Key Points

    • Cost cuts are improving Plug's margins.

    • The fuel supplier is on track to generate positive EBITDA in the fourth quarter.

    Shares of Plug Power (NASDAQ: PLUG) rose on Tuesday after the hydrogen fuel cell maker lifted its full-year growth targets.

    Plug Power's logo is superimposed over alternative energy systems.

    Image source: The Motley Fool.

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    Progress toward profitability

    Plug's revenue grew 2% year over year to $178 million in the second quarter.

    The green hydrogen infrastructure developer's service revenue surged 82% to $30 million, fueled by a growing installed base that's driving higher aftermarket sales.

    Plug deployed 1,666 of its GenDrive fuel cell units during the quarter, a 125% jump from the prior-year period.

    Plug's fuel revenue also climbed 15% to $39 million, driven by increased hydrogen consumption by its customers.

    Moreover, Plug's cost-cutting initiatives are boosting its margins. Gross margin improved to breakeven compared to negative 31% in the year-ago quarter, driven in part by better plant utilization and production efficiency gains.

    All told, Plug's adjusted net loss per share narrowed to $0.07 from $0.18 in Q2 2025.

    Raised guidance

    Plug now sees its full-year revenue rising by 15%-16% in 2026. The company also remains on track to generate positive earnings before interest, taxes, depreciation, and amortization (EBITDA) in the fourth quarter.

    "Our second quarter results demonstrate that Plug is executing its transformation into a stronger, more efficient, and profitable company," CEO Jose Luis Crespo said.

    Joe Tenebruso 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.