Plug Power Inc (NASDAQ:PLUG) shares fell 12% on Wednesday after Tech Opportunities LLC exercised warrants to purchase 10,501,500 shares at a price of $1.5 a piece. In addition, Plug issued Tech Opportunities warrants to buy another 5.25 million shares at an exercise price of $2.69 per share. Given Wednesday’s exercise, Plug sentiment has dampened due to the fear that Tech Opportunities might decide to sell some shares to lock in a profit. The selling could affect the demand supply equation surrounding Plug temporarily. Given Plug’s substantial rally after it won a major deal from e-commerce giant Amazon, profit taking could also have played a part in today’s drop. Even with the 12% decline, Plug shares are up 93% year-to-date, far outpacing the NASDAQ’s 8.4% advance.
What Does The Smart Money Sentiment Say?
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According to our data, 4 elite funds had a bullish position in Plug Power Inc (NASDAQ:PLUG) at the end of the fourth quarter, up 2 funds from the previous quarter. Among the bulls was Sander Gerber‘s Hudson Bay Capital Management, which established a new position of 10.22 million shares at the end of December.
The Bottom Line
Plug Power Inc (NASDAQ:PLUG) shares fell on Wednesday due to Tech Opportunities exercising its warrants to buy Plug stock. For more reading, check out ‘electric vehicles with the longest range‘.