In this article, we highlight the 11 Best Hydrogen Stocks to Buy Right Now.
The International Energy Agency’s Global Hydrogen Review 2025 revealed that hydrogen production capacity rose again in the second half of the year. And key among the drivers is renewed project activity in Europe, the Middle East, and parts of Asia. The IEA noted that while final investment decisions remain uneven, policy-backed demand in steelmaking, ammonia, and heavy transport continues to underpin medium-term growth expectations.
BloombergNEF’s head of hydrogen research, Martin Tengler, echoed this cautious outlook in the Switched On podcast on November 5, 2025. Tengler and his team project approximately 5.5 million tons of low-carbon (green) hydrogen production by 2030. But this figure is roughly half of what was expected just a few years ago and falls far short of the ambitious targets set by governments and the industry.
The main hurdles, according to the researcher, are persistently high costs and insufficient policy frameworks to bridge the price gap between low-carbon hydrogen and incumbent fossil fuels. Nonetheless, Tengler said, hydrogen is gaining a genuine foothold in sectors that cannot easily be electrified, specifically shipping and aviation. He sees these industries as the transformative use cases for the fuel.
At the same time, OilPrice.com projects the value of the global green hydrogen market to rise to about $75 billion by 2032 from $2.79 billion in 2025. This implies a 60% CAGR in a seven year period. The report notes that although data shows that current hydrogen demand is dominated by industrial use cases, the mobility sector will soon become the largest end-use.
Against this backdrop, this article highlights 12 hydrogen stocks that have substantial upside potential in light of developments in the sector.
Source:unsplash
Our Methodology
To identify the 12 Best Hydrogen Stocks to Buy Right Now, we analyzed the constituents of the Global X Hydrogen ETF (HYDR) and the Defiance Next Gen H2 ETF (HDRO). From this group, we selected the stocks that were the most popular among elite hedge funds, as of Q3 2025. The final list is arranged in ascending order by the number of hedge funds holding stakes in each company.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
Best Hydrogen Stocks to Buy Right Now
11. Ballard Power Systems Inc. (NASDAQ:BLDP)
Number of Hedge Fund Holders: 12
Ballard Power Systems Inc. (NASDAQ:BLDP) is one of the best hydrogen stocks to buy right now. On November 18, Jefferies lifted its price target for Ballard Power Systems Inc. stock to $2.50 from $1.40 and kept a Hold rating on the shares. The decision followed Ballard’s Q3 2025 earnings report in which revenue reached $32.5 million, exceeding the expected $25 million.
The firm noted that the positive surprise came on the back of strong sales in bus and rail products that made up 70% of total revenue. The quarter’s EPS came in at -$0.09, better than the forecasted -$0.113. And adjusted gross margin was slightly negative but outperformed the expected negative 9%.
Jefferies noted Ballard’s plans to expand next-generation fuel cell platforms for bus and heavy-duty uses as a key positive. The analysts highlighted expected growth in data center backup power as part of the reason for the higher target.
Jefferies’ move came just a day after Susquehanna reaffirmed a Hold rating on Ballard’s stock on November 17. The firm also kept the price target at $3.30.
Ballard Power Systems Inc. (NASDAQ:BLDP) is a Canadian company specializing in the design, development, manufacture, and service of proton exchange membrane (PEM) fuel cell products. Its main products are fuel cell modules and stacks used for heavy-duty motive applications, including buses, trucks, rail, and marine transportation.
10. FuelCell Energy, Inc. (NASDAQ:FCEL)
Number of Hedge Fund Holders: 15
FuelCell Energy, Inc. (NASDAQ:FCEL) is one of the best hydrogen stocks to buy right now. On December 1, FuelCell Energy announced the closure of a debt financing agreement with the Export-Import (EXIM) Bank of the United States. The deal provided approximately $25 million in gross proceeds before fees and reserves. According to the company, this financing is part of EXIM’s Project & Structured Finance program whose goal is to support US exporters in global natural resource and infrastructure sectors.
Proceeds will facilitate producing and shipping fuel cell modules, along with related services for the final phase of upgrading 42 fuel cells at the Gyeonggi Green Energy site in Hwaseong Baran Industrial Complex, South Korea. This project operates as the world’s largest fuel cell park with a capacity of 59.4 megawatts. And it delivers baseload power suitable for industrial parks and data centers. This particular agreement is the third EXIM financing for FuelCell Energy related to this Korean project. Previous transactions total over $50 million.
Commenting on the deal, FuelCell Energy’s CFO, Michael Bishop, stated: “Our relationship with EXIM is a testament to the strength of our utility scale power generation technology… This repeat financing enhances our capital flexibility and enables us to accelerate our efforts to serve international markets.” On his part, company President and CEO Jason Few said that “this financing helps us meet the rising global demand for clean, reliable power from industrial parks to fast growing data center hubs…”
FuelCell Energy, Inc. (NASDAQ:FCEL) is a clean energy company. It develops, manufactures, and deploys stationary fuel cell and electrolysis platforms for the production of hydrogen. Its main products are hydrogen and electricity.
9. Plug Power Inc. (NASDAQ:PLUG)
Number of Hedge Fund Holders: 27
Plug Power Inc. (NASDAQ:PLUG) is one of the best hydrogen stocks to buy right now. On December 4, Plug Power signed a letter of intent (LOI) with Hy2gen to supply a 5MW proton exchange membrane (PEM) electrolyzer. This will be installed at the Sunrhyse green hydrogen production project in Signes, France. Sunrhyse is Hy2gen’s flagship initiative focused on producing renewable, Renewable Fuels of Non-Biological Origin (RFNBO)-certified hydrogen.
The agreement establishes a basis for Plug Power to handle hydrogen transport, distribution, and provide turnkey hydrogen forklift solutions from the Sunrhyse facility. Also, the LOI extends ongoing cooperation between Plug Power and Hy2gen in Europe and North America. This includes Hy2gen’s Project Courant in Québec, Canada, which features a large-scale electrolyzer and targets final investment decision before 2027.
Separately, on November 24, H.C. Wainwright reaffirmed a Buy rating on Plug Power stock and maintained a price target of $7. The action came after Plug Power’s seventh symposium on November 18, 2025. During the event, senior management gave presentations, and incoming CEO Jose Luis Crespo hosted panels focused on the company’s customer-centered approach. The panels allowed customers to share positive views on customized solutions the company provides.
Plug Power Inc. (NASDAQ:PLUG) is an American company focused on building and operating green hydrogen production and distribution facilities. The company manufactures and deploys electrolyzers and fuel cells to produce green hydrogen.
8. Air Products and Chemicals, Inc. (NYSE:APD)
Number of Hedge Fund Holders: 51
Air Products and Chemicals, Inc. (NYSE:APD) is one of the best hydrogen stocks to buy right now. On December 9, Bernstein SocGen Group reiterated an Outperform rating on Air Products and Chemicals, Inc. (NYSE:APD) stock and kept the price target at $320. The analysts cited Air Products’ update on the negotiations with Yara. The negotiations center on plans for the companies to partner on large-scale, low-emission ammonia projects in the US and Saudi Arabia. The partnership is designed to de-risk these projects and leverage both companies’ expertise in hydrogen production and ammonia distribution. But Air Products’ stock fell 11% after this update, which Bernstein described as an “overreaction”.
According to the analysts, the collaboration is “broadly positive in terms of long-term offtake demand for both blue and green hydrogen.” They added that it addresses key investor concerns about demand for hydrogen. The deal involves Air Products’ Louisiana Clean Energy Complex and the NEOM Green Hydrogen Project in Saudi Arabia. Yara is considering buying assets related to ammonia production, storage, and shipping, with a possible investment of $2-2.25 billion. This covers about 25% of the Darrow project cost.
To Bernstein, this de-risking is one of the major factors that will support future stock growth. Other factors include long-term growth potential in industrial gases and supportive market conditions.
Air Products and Chemicals, Inc. (NYSE:APD) is a US-based industrial gases company. It develops, builds, owns, and operates some of the world’s largest clean hydrogen projects.
7. The AES Corporation (NYSE:AES)
Number of Hedge Fund Holders: 52
The AES Corporation (NYSE:AES) is one of the best hydrogen stocks to buy right now. On December 5, Argus upgraded The AES Corporation (NYSE:AES) stock to Buy from Hold.
Independently of the analyst action, on December 5, The AES Corporation’s Board declared a $0.17595 per share quarterly dividend on common stock. All shareholders on the books as of January 30, 2026, will receive the payment. The payment amount hasn’t changed since the company implemented an increase in Q1 2025.
Separately, on November 11, Jefferies upgraded AES stock from Underperform to Hold and lifted the price target to $13 from $12. The change gives more credit to data center opportunities at AES’s regulated utilities in Indiana and Ohio, including renewable-powered land developments. Jefferies noted that it now values both utilities at the average electric group P/E multiple to reflect expected acceleration and longer-term growth from data center opportunities. The firm views $13 per share as a reasonable “floor” for shares based on reported enterprise value.
Jefferies noted that AES Indiana is finalizing significant deals, while AES Ohio has signed agreements for over 2.1 GW of data centers. There is also additional potential opportunities in the 6 GW+ range. The firm sees these as part of AES’s growth strategy, though it characterized them as more of a one-time benefit rather than recurring.
The AES Corporation (NYSE:AES) is an American energy company focused on developing, owning, and operating renewable energy projects, including one of the largest green hydrogen facilities in the United States. The company’s main products in the hydrogen sector are green hydrogen produced through electrolysis powered by wind and solar energy.
6. Baker Hughes Company (NASDAQ:BKR)
Number of Hedge Fund Holders: 54
Baker Hughes Company (NASDAQ:BKR) is one of the best hydrogen stocks to buy right now. On December 12, UBS raised the price target for Baker Hughes Company (NASDAQ:BKR) to $54 from $48 while keeping a Neutral rating on the shares. UBS stated that the change reflects a broader positive outlook for the Energy sector heading into 2026, following three years of limited gains.
UBS said it favors natural gas exploration and production companies. However, it expects positive momentum to spread broadly across oil exploration and production firms as well as oilfield services (OFS) providers like Baker Hughes. Some of the things the analysts like about Baker Hughes include improving outlooks for oil and natural gas prices and demand, benefits from mergers and acquisitions that create value, cost reductions and capital expenditure efficiencies in the industry, new opportunities emerging in oilfield services, and attractive overall valuations in the Energy sector.
In a different update, on December 11, Citi lifted its price target for Baker Hughes to $61 from $55 and maintained a Buy rating on the shares. Citi said the adjustment was made as part of its 2026 outlook for the oil and gas equipment and services group. In Citi’s view, the industry is at the bottom of a two-year downcycle, but with potential for improved share performance in 2026 due to stable earnings estimates.
Baker Hughes Company (NASDAQ:BKR) is an energy technology company that develops and delivers technologies for the entire hydrogen value chain. Its main products are hydrogen-enabled turbines, compressors, valves, centrifugal pumps, non-metallic pipes, sensors, and monitoring systems.
5. Bloom Energy Corporation (NYSE:BE)
Number of Hedge Fund Holders: 64
Bloom Energy Corporation (NYSE:BE) is one of the best hydrogen stocks to buy right now. Bloom Energy Corporation (NYSE:BE) has received a mix of views from Wall Street analysts over the past few weeks. On December 16, Morgan Stanley analyst David Arcaro reiterated a Buy rating and set a price target of $155. That optimism was echoed by BTIG’s Gregory Lewis, who also maintained a Buy rating with a $145 target. Earlier in the month, however, Daiwa took a more neutral stance, initiating coverage on December 3 with a Hold rating and a $98 target.
Not all firms share the bullish outlook. On November 25, BofA Securities raised its price target from $26 to $39 but kept its Underperform rating in place. While the firm pointed to improvements in execution and a solid demand environment, it remains cautious. BofA expects Bloom’s megawatt capacity to grow at roughly a 40% compound annual rate through 2028, supported by the company’s 44.5% revenue growth over the past year and an estimated 27% increase this fiscal year.
Valuation, however, continues to be a concern. Bloom currently trades at extremely high multiples, with a P/E ratio above 1,400 and an EV/EBITDA multiple near 167. BofA notes that maintaining growth beyond 2027 will likely depend on securing large new contracts, which adds execution risk. Although the company carries manageable debt and has strong liquidity, analysts see fourth-quarter backlog figures as a critical indicator of whether order activity can keep pace with the company’s growth narrative.
Bloom Energy Corporation (NYSE:BE) designs and installs solid-oxide fuel cell systems that provide on-site power in the U.S. and internationally. Its core offering, the Bloom Energy Server, produces electricity through an electrochemical process using fuels such as natural gas, biogas, or hydrogen, rather than traditional combustion. The company also sells the Bloom Electrolyzer, a product aimed at efficient hydrogen generation. Bloom serves customers across a wide range of sectors, including utilities, data centers, healthcare, retail, agriculture, universities, biotechnology, and manufacturing, through both direct sales and partnerships.
4. Cummins Inc. (NYSE:CMI)
Number of Hedge Fund Holders: 64
Cummins Inc. (NYSE:CMI) is one of the best hydrogen stocks to buy right now. On December 11, Citi increased the price target for Cummins Inc. (NYSE:CMI) stock to $580 from $530 while keeping a Buy recommendation. The change was part of Citi updating its financial models for the machinery industry looking ahead to 2026. The bank stated that it sees good value in the machinery sector overall and has strong belief in growth for construction and mining areas starting next year. However, it noted that agriculture and truck markets may face short-term difficulties.
Earlier that day, on December 11, Barclays reaffirmed a Hold rating on the stock and kept the price target at $515. And on November 25, UBS upgraded Cummins stock rating to Neutral from Sell and increased the price target to $500 from $350. According to the bank, the upgrade was based on the view that the truck market cycle will reach its lowest point in 2026, making the stock’s risks and potential rewards more even.
UBS analysts see possible lower results than expected for Cummins’ engine and parts businesses in the first half of 2026. The reasons given were falling truck market conditions and pressure on profit margins as the market hits bottom. However, the analysts stated, these issues could be balanced by better than expected performance in power generation.
Cummins Inc. (NYSE:CMI) is an American multinational corporation that designs, manufactures, and distributes diesel engines, electric vehicle components, and power generation products. The company’s main products in the hydrogen sector are hydrogen fuel cell powertrains for commercial vehicles, heavy-duty hydrogen engines, and large-scale electrolyzers.
3. NextEra Energy, Inc. (NYSE:NEE)
Number of Hedge Fund Holders: 72
NextEra Energy, Inc. (NYSE:NEE) is one of the best hydrogen stocks to buy right now. On December 10, BMO Capital Markets cut the price target for NextEra Energy, Inc. (NYSE:NEE) to $89 from $90 and affirmed an Outperform rating on the shares. The adjustment resulted from rolling the base valuation year forward to 2028 in BMO’s mark-to-market sum-of-the-parts analysis.
BMO noted that NextEra’s management believes the company is well-positioned to grow its EPS faster than 8% CAGR through 2035. This growth rate, stated the firm, is higher than the previous guidance range of 6-8% EPS CAGR. The analysts also highlighted that the revised 8%+ EPS CAGR is expected to grow from a higher base range in 2025 through 2032. This creates a stronger starting point for long-term growth, BMO noted.
Separately, on December 8, BTIG lifted its price target for NextEra to $100 from $98 and kept a Buy rating on the shares. The increase came after NextEra’s Investor Day event held on the same day in New York City. Specifically, BTIG pointed to NextEra’s long-term EPS growth target of 8% or higher through 2035, describing it as “the strongest combination of growth potential and duration” among the companies it covers. BTIG said it believes NextEra could grow earnings faster than this target over time, due to the company’s strong history of delivering results and many possible extra growth opportunities.
NextEra Energy, Inc. (NYSE:NEE) is the largest generator of renewable energy in North America. The company owns and operates a huge network of wind and solar farms, battery storage facilities, and transmission infrastructure, and is actively investing in technologies that support the integration of hydrogen and other clean energy solutions into its grid and generation systems.
2. Linde plc (NASDAQ:LIN)
Number of Hedge Fund Holders: 76
Linde plc (NASDAQ:LIN) is one of the best hydrogen stocks to buy right now. On December 12, UBS reaffirmed a Buy rating on Linde plc (NASDAQ:LIN) and maintained a price target of $500. UBS based its decision on Linde’s Q3 2025 earnings and its outlook. The firm said it expects Linde’s EPS to grow over 10% in the coming year based on 4-6% growth from management actions and another 4-6% from capital allocation. This calculation excludes any benefits from macro growth.
With 1-2% growth in industrial production, UBS indicated that Linde’s EPS growth could rise into the low-to-mid teens. The firm also expects a strong upside for Linde’s stock in the foreseeable future for several reasons including benefits from project ramp-ups, backlog execution, and efficient capital deployment. There is also potential for additional volume growth in two-thirds of the portfolio if industrial production improves modestly.
Earlier on December 12, Mizuho lowered its price target for Linde to $495 from $520 and maintained an Outperform rating on the shares. The change was due to “lower market and peer multiples” and not related to any company-specific issues. Mizuho highlighted that Linde’s project backlog has stayed stable recently and is expected to grow by the end of 2026. But as Linde continues to focus on high-potential areas such as clean energy projects, electronics, and commercial space launches, Mizuho stated, there is massive growth potential for the stock.
Linde plc (NASDAQ:LIN) is a global industrial gases and engineering company. The company operates the largest liquid hydrogen capacity and distribution system in the world. Its main products are green hydrogen produced through electrolysis, hydrogen refueling solutions, and advanced technologies for hydrogen storage and transportation.
1. Constellation Energy Corporation (NASDAQ:CEG)
Number of Hedge Fund Holders: 91
Constellation Energy Corporation (NASDAQ:CEG) is one of the best hydrogen stocks to buy right now. On December 16, JPMorgan cut Constellation Energy Corporation (NASDAQ:CEG)’s price target to $410 from $422 while maintaining an Overweight rating, following updates to its model after the Q3 results.
On December 11, Constellation Energy Corporation received the “Energy Deal of the Year” award at the 2025 Platts Global Energy Awards. The award honors Constellation’s 20-year power purchase agreement with Microsoft, which enabled the restart of the Crane Clean Energy Center (Unit 1) in Londonderry Township, Pennsylvania. The Crane Clean Energy Center, formerly known as Three Mile Island Unit 1, was retired in 2019; its restart will generate 835 megawatts of carbon-free nuclear energy.
Under the agreement, Microsoft will purchase the full output to match electricity consumption at its data centers in the PJM Interconnection market. It will also support overall grid capacity and reliability. The project is expected to create more than 3,000 jobs, contribute over $16 billion to Pennsylvania’s GDP.
In a separate update, on December 5, Constellation reached a settlement with the US Department of Justice (DOJ) Antitrust Division, clearing the final regulatory hurdle to acquiring Calpine Corporation. The company had announced in January 2025 a cash-and-stock deal to acquire the privately held company, but the transaction was delayed by the DOJ’s civil antitrust lawsuit. This settlement allows the deal to proceed, which will create the largest US power generation fleet.
Constellation Energy Corporation (NASDAQ:CEG) is an American energy company that produces and sells electricity, natural gas, and sustainable energy solutions across the United States. The company is actively investing in and expanding clean energy technologies, including projects that support the integration of hydrogen into its power generation and distribution systems.
While we acknowledge the potential of Constellation Energy Corporation (NASDAQ:CEG) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CEG and that has 100x upside potential, check out our report about this cheapest AI stock.
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