In this article, we will take a look at the 8 Best Hydrogen and Fuel Cell Stocks to Buy for 2026.
Market watchers and investors that paid attention to policy back in 2020 likely envisaged a future in which hydrogen will be a propellant for the economy as a whole. It was a moment of big visions, and the ‘hydrogen ladder’ was commonly adopted. Now, five years later, the honeymoon period has truly ended. Low-carbon hydrogen, produced using either renewable energy and water or gas and carbon storage, has had trouble getting upfront orders from consumers, with green and blue hydrogen costing more than the “grey” type created from fossil fuels without the capture of emissions.
According to the International Energy Agency (IEA) over 2,600 projects had been announced worldwide by the end of 2024. That said, nearly 60 significant low-carbon hydrogen initiatives have been canceled or put on hold this year due to the industry’s problems with rising costs, unclear policies, and a shortage of buyers.
Additionally, the sector has been hampered by President Donald Trump’s animosity toward renewable energy initiatives, which has resulted in reductions in the incentives that Joe Biden’s administration had offered, all while European countries have been sluggish to carry out their goals.
Nonetheless, the global green hydrogen industry is expected to grow from $2.79 billion in 2025 to around $75 billion by 2032, according to OilPrice.com. Even the IEA pointed out that medium-term growth prospects are still supported by policy-backed demand in steelmaking, ammonia, and heavy transportation, though final investment decisions remain inconsistent.
Our Methodology
For our list of the best hydrogen and fuel cell stocks stocks to buy for 2026, we started with a list of stocks pulled from ETFs, stock screeners, and web rankings. These stocks were further narrowed based on analyst upside of at least 15%. We have also added the hedge fund sentiment around each stock sourced from Insider Monkey’s Q3 database.
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).
8. FuelCell Energy, Inc. (NASDAQ:FCEL)
Analyst Upside: 17.51%
Number of Hedge Fund Holders: 15
FuelCell Energy, Inc. (NASDAQ:FCEL) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 19, TD Cowen boosted its price target for FuelCell Energy, Inc. (NASDAQ:FCEL) to $9 from $7, while keeping a Hold rating on the stock following the fourth-quarter fiscal results. The company’s revenue increased by 12% year-over-year, indicating a favorable trend. On the other hand, FuelCell Energy’s backlog fell 4% quarter-over-quarter, from $1.24 billion to $1.19 billion, and its gross loss increased sequentially.
FuelCell Energy, Inc. (NASDAQ:FCEL) reported higher EBITDA margins in Q4 as cost-cutting efforts began to take impact and product revenues were achieved. The company also reached around $55 million in revenue in the fourth quarter of 2025, which was driven by the supply of 10 modules to GGE under a long-term service agreement.
This comes as FuelCell Energy, Inc. (NASDAQ:FCEL) targets data center opportunities and is currently in active negotiations with a number of potential clients, though the timeline for converting this interest into confirmed orders is unknown.
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. The company’s LTSA approach improves reliability for high-demand industries like data centers by guaranteeing round-the-clock monitoring, technical assistance, and preventative maintenance.
7. Plug Power Inc. (NASDAQ:PLUG)
Analyst Upside: 45.88%
Number of Hedge Fund Holders: 27
Plug Power Inc. (NASDAQ:PLUG) ranks among the best hydrogen and fuel cell stocks to buy for 2026. Plug Power Inc. (NASDAQ:PLUG) has commenced significant projects this month. On December 17, the company deployed a 5MW GenEco electrolyzer system for Cleanergy Solutions Namibia’s green hydrogen project at the Hydrogen Dune facility in Walvis Bay. The facility, which debuted in September, is billed as Africa’s first fully functioning commercial green hydrogen plant.
The regionally generated hydrogen is expected to fuel hydrogen-powered trucks, port and rail machinery as well as small ships that pass through the Walvis Bay Port. The facility will also offer automobiles that have been adapted on-site to run on both hydrogen and traditional fuels.
Meanwhile, on December 1, Plug Power Inc. (NASDAQ:PLUG) signed a deal to provide NASA’s Glenn Research Center and Neil A. Armstrong Test Facility with up to 218,000 kilos of liquid hydrogen. The contract, which is worth up to $2.8 million, is Plug Power’s first liquid hydrogen distribution agreement with NASA.
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.
6. New Jersey Resources Corporation (NYSE:NJR)
Analyst Upside: 16.18%
Number of Hedge Fund Holders: 32
New Jersey Resources Corporation (NYSE:NJR) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 17, Mizuho upgraded New Jersey Resources Corporation (NYSE:NJR) from Neutral to Outperform, lifting its price target to $54 from $51. The rating increase is based on attractive valuation and solid fundamentals, with Mizuho stating that NJR trades at a 23% discount compared to its local distribution peer group based on 2028 consensus expectations.
Mizuho claims New Jersey Resources Corporation (NYSE:NJR) is largely protected from regulatory issues that affect other in-state power companies, which are under scrutiny for affordability. The firm noted positive growth outlooks for NJR’s S&T and CEV divisions in its fiscal fourth-quarter 2025 results, with the CEV division likely benefiting from in-state generation requirements.
New Jersey Resources Corporation (NYSE:NJR) announced mixed financial results for the fiscal fourth quarter of 2025. The company posted earnings per share of $0.16, which was lower than the expected $0.19, resulting in a 15.79% negative surprise. Despite this, New Jersey Resources Corporation (NYSE:NJR) exceeded projected revenues, posting $336.08 million instead of the expected $307.19 million.
A diversified energy holding company, New Jersey Resources Corporation (NYSE:NJR) provides regulated natural gas distribution, transmission, and storage services alongside unregulated clean energy operations.
5. Canadian National Railway (NYSE:CNI)
Analyst Upside: 15.45%
Number of Hedge Fund Holders: 34
Canadian National Railway (NYSE:CNI) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 18, RBC Capital reduced its price target for Canadian National Railway (NYSE:CNI) to C$153 from C$158 while keeping an Outperform rating on the company’s shares. The firm boosted its fourth-quarter earnings per share estimate to C$2 from C$1.95, exceeding the average projection of C$1.97. RBC attributed the revised estimate to robust volumes and consistent car velocity trends at the railway operation.
RBC expects Canadian National to give more cautious guidance for 2026, likely estimating EPS growth in the mid-single digits or possibly low-to-mid single digits, as opposed to the current consensus projection of 8.5% growth. RBC forecasts 6.1% EPS growth in 2025, somewhat higher than the average estimate of 5.8%, and consistent with Canadian National’s projection for mid-to-high single-digit increase.
Additionally, Canadian National Railway Company (NYSE:CNI) reported solid quarterly results, with adjusted earnings per share increasing by 6% in the September quarter. CEO Tracy Robinson stated that despite falling volume expectations in the past two years, the railroad operator has maintained top-tier profitability along with excellent operational efficiency.
Canadian National Railway Company (NYSE:CNI) is a major North American transportation company that moves goods across its wide-reaching rail network. The company is also exploring hydrogen for rail, as well as battery-electric prototypes, to minimize emissions.
4. Air Products and Chemicals, Inc. (NYSE:APD)
Analyst Upside: 15.55%
Number of Hedge Fund Holders: 51
Air Products and Chemicals, Inc. (NYSE:APD) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 9, Air Products and Chemicals, Inc. (NYSE:APD) stock plummeted 11%, with Bernstein SocGen Group maintaining its Outperform rating and $320 price target for the company’s shares. According to Bernstein analyst James Hooper, the market reaction was something of a “overreaction” after Air Products announced negotiations with Yara to collaborate on major hydrogen megaprojects.
The agreement focuses on Air Products’ Louisiana Clean Energy Complex and Saudi Arabia’s NEOM Green Hydrogen Project, with the goal of covering around 25% of the Darrow project’s costs. Yara is exploring acquiring ammonia production, storage, and shipping facilities for an estimated $2-2.25 billion.
The analyst stated that Air Products’ release was “broadly positive in terms of long-term offtake demand for both blue and green hydrogen,” resolving Bernstein’s main concern around hydrogen demand.
Hooper noted that the frameworks are “supportive” regardless of “lower cash generation and remaining uncertainty” linked with the projects.
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.
3. Baker Hughes Company (NASDAQ:BKR)
Analyst Upside: 21.38%
Number of Hedge Fund Holders: 54
Baker Hughes Company (NASDAQ:BKR) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 24, BMO Capital reiterated its Outperform rating on Baker Hughes Company (NASDAQ:BKR) with a $55 price target. The firm anticipates Baker Hughes’ fourth-quarter 2025 earnings to be roughly in line with forecasts due to solid Industrial & Energy Technology (IET) performance offsetting reduced margins in the Oilfield Services & Equipment (OFSE) division.
Baker Hughes Company (NASDAQ:BKR) is expected to achieve a full-year free cash flow conversion rate of roughly 45–46%, according to BMO Capital, which has trimmed first quarter expectations owing to seasonality. EBITDA is now projected at $1,011 million.
Additionally, on December 22, Technip Energies awarded Baker Hughes Company (NASDAQ:BKR) a contract to provide primary liquefaction equipment for Commonwealth LNG’s planned 9.5 million tonnes annual export facility in Cameron, Louisiana.
The award includes six refrigerant turbo compressors, which are made up of LM9000 aeroderivative gas turbines and centrifugal compressors. The range also includes commissioning services, capital spares, extended warranty, and a complete string test.
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.
2. Devon Energy Corporation (NYSE:DVN)
Analyst Upside: 20.37%
Number of Hedge Fund Holders: 59
Devon Energy Corporation (NYSE:DVN) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 31, Roth/MKM reaffirmed its Buy rating on Devon Energy Corporation (NYSE:DVN), with a $42 price target. Analyst Nick Pope maintained a bullish outlook on the company following a thorough analysis of Devon’s 2026 output model. The firm’s production predictions for 2026 remain somewhat higher than Devon’s own guide, while its capital expenditure expectations are consistent with the company’s estimate.
The study included an extensive analysis of capital efficiency in Devon’s Bakken operations, which employed precise data to evaluate an asset’s baseline decline.
Additionally, on December 12, UBS upgraded Devon Energy Corporation (NYSE:DVN) from Neutral to Buy, noting an improving oil outlook for the latter half of 2026 and an expected $1 billion debt reduction mid-year as major drivers for the company.
UBS expects Devon’s first-half 2026 developments to boost confidence in the company’s ability to implement its $1 billion cost-cutting target by the end of the year. The firm stated that this cost-cutting program, as well as ongoing capital allocation improvements, support UBS’s projection that 2027 capital expenditures will be roughly $200 million lower than Street estimates of $3.7 billion.
Devon Energy Corporation (NYSE:DVN) is a prominent player in the United States energy market, specializing in the exploration, development, and production of oil, natural gas, and natural gas liquids. The company is looking into hydrogen as part of its energy transition, examining technologies like renewable natural gas and carbon capture, and envisions it as a future energy source.
1. Linde plc (NASDAQ:LIN)
Analyst Upside: 17.00%
Number of Hedge Fund Holders: 76
Linde plc (NASDAQ:LIN) ranks among the best hydrogen and fuel cell stocks to buy for 2026. On December 17, BMO Capital reiterated its Outperform rating and $501 price target for Linde plc (NASDAQ:LIN), highlighting the industrial gas company’s solid growth potential. According to the firm, Linde recently conducted a business review that highlighted its ability to sustain or surpass its 10%+ EPS growth target across a variety of channels.
The firm also noted considerable price and productivity benefits, which became clearer during Linde’s briefing on AI, as well as opportunities for investment and efficiency.
Meanwhile, Mizuho reaffirmed an Outperform rating on Linde plc (NASDAQ:LIN) with a $495 price target following talks with company executives and investors. During these discussions, management confirmed its forecast for combined trendline EPS growth of 8-12%, with 4-6% coming from price and productivity enhancements plus 4-6% from capital allocation measures.
Mizuho reported that Linde’s backlog has lately remained steady, with management projecting it to grow by the end of 2026.
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 key products include green hydrogen produced via electrolysis, hydrogen refueling solutions, and innovative hydrogen storage and transportation technology.
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