Plug Stock Prediction

On July 28^th, 2015, The I Know First algorithm gave a bullish signal of 10.36 for the ticker PLUG (Plug Power), which had a strong predictability indicator of 0.16. In accordance with the algorithm’s prediction, Plug Power rose by 19.75% since that time.

Plug Power is an American company that produces hydrogen fuel cells, named GenCore, which offer a more energy efficient alternative to the traditional acid-lead batteries. The company has announced an agreement to acquire 80% of HyPulsion, together with its French partner Axane. The deal is said to give Plug Power the opportunity to penetrate the $20 billion European electric lift truck market, where GenCore specializes. Moreover, the deal will be an all-stock transaction, in which Axane will receive nearly $11.5 million worth of Plug Power common stock. This recent acquisition could be the reasoning for the recent increase in stock prices.

The news is welcomed by the current shareholders, and CEO Andy Marsh says the deal helps pave the way for his ambitious goal of the company becoming a $500 million revenue company. However, the company is still some way from achieving this forecast as they boast only $64 million in sales according to the most recent fiscal year.