Why Plug Power Stock Plunged 22.5% in October but Could Rebound
Plug Power (NASDAQ: PLUG) stock fell by double-digit percentages for the third straight month in October and lost 22.5% value in the month, according to data provided by S&P Global Market Intelligence. Plug Power projected exponential growth in its revenue in the coming years at its annual event, the Plug Symposium, held in October. But there's something else investors have been worried about.
Plug Power gave out some big numbers at the Plug Symposium. The company expects to generate $1.2 billion in revenue this year, grow it to $6 billion by 2027, and hit a massive $20 billion in revenue by 2030. In other words, Plug Power expects to grow its revenue by a whopping 17 times in just about seven years.
If that's huge, Plug Power also expects to achieve a gross margin of more than 35% by 2030. For perspective, the hydrogen fuel cell maker reported a negative gross margin of 31% in the six months ended June 30.
Source Fool.com
