Wall Street Sees More Than 40% Upside for Plug Power (PLUG)

Plug Power Inc. (NASDAQ:PLUG) is one of the Best Penny Stocks That Could Skyrocket in 2026. Wall Street’s 12-month average price target suggests more than 40% upside from the current levels. On June 2, Plug Power Inc. (NASDAQ:PLUG) announced selling a federal Investment Tax Credit worth roughly $39.2 million.

​Management noted that the Investment Tax Credit was linked to its hydrogen liquefaction facility in St. Gabriel, Louisiana, and is a joint venture with Olin Corporation. This move was part of the company’s strategy to improve liquidity and deploy more capital to expand its hydrogen network.

​Plug Power Inc. (NASDAQ:PLUG) noted that under the US clean energy law, hydrogen infrastructure assets can qualify for the Investment Tax Credit that companies can transfer to third-party investors for immediate cash benefits. Plug Power had earlier used the same approach in 2025 for a $30 million ITC transfer tied to its Woodbine, Georgia, facility.

​That said, Plug Power Inc. (NASDAQ:PLUG) has been in business for more than 25 years, but recorded its first-ever gross profit in Q4 2025. This momentum was carried forward to Q1 2026 earnings, where revenue jumped 22% year over year, driven by strong electrolyzer sales and material handling volumes. The margins improved as well, with gross margins increasing from negative 55% in Q1 2025 to negative 13% in Q1 2026.

​Analysts at Craig-Hallum and B. Riley both raised their price targets on Plug stock to $5 per share following the Q1 results.

Plug Power Inc. (NASDAQ:PLUG) is an alternative energy technology firm. It designs, develops, commercializes, and manufactures hydrogen and fuel cell systems for the material handling and stationary power fields.

While we acknowledge the risk and potential of PLUG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than PLUG and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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