Ballard Power Systems Inc. (USA) (NASDAQ:BLDP) shares have rallied 9% after one of the company’s peers, Plug Power Inc (NASDAQ:PLUG), reached an agreement with Amazon.com, Inc. (NASDAQ:AMZN). Specifically, Amazon will use Plug Power fuel cells and hydrogen technology in its fulfillment network. The agreement for Plug could be worth $70 million in 2017.
Although Ballard Power Systems Inc. (USA) (NASDAQ:BLDP) didn’t win any contracts today, some traders feel the Amazon deal further validates fuel cells and certainly improves sentiment in the sector. Like Plug Power, Ballard Power also manufactures, designs, and services fuel cell products. Shares of the stock have rallied 42% year-to-date and 72% over the last 12 months before today’s news.
What Does The Smart Money Sentiment Say?
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Given the small size of the company, not many elite fund holders held Ballard Power Systems Inc. (USA) (NASDAQ:BLDP) at the end of the fourth quarter. One of the brand names, Jim Simons‘ Renaissance Technologies, reported a stake of 28,400 shares, but the fund decreased its share by 97% quarter-over-quarter.
The Bottom Line
Ballard Power Systems Inc. (USA) (NASDAQ:BLDP) shares have rallied almost 9% on the back of today’s Plug news. Although the good news occurred to a peer, the price action suggests that some traders believe Amazon’s deal with Plug improves sentiment for the name. For more reading, check out ‘11 Best Countries in Renewable Energy‘.