Amazon Is An Investor

Should You Jump In [View in browser]( BROUGHT TO YOU BY: Proprietary Data Insights Financial Pros Hydrogen and Fuel Cell Searches In The Last Month Rank Name Searches #1 Plug Power 1928 #2 FuelCell Energy 1360 #3 Cummins Inc. 181 #4 Bloom Energy 152 #5 Ballard Power Systems Inc. 18 #ad [Do not buy any crypto before seeing this]( Brought to you by [InvestorPlace Media]( [Could this be the next Bitcoin?]( Bitcoin “Hall of Famer” Charlie Shrem just issued a new crypto recommendation… A $20 play that could be even bigger than Coinbase. [Read more here.]( Technology Amazon Is An Investor When the Inflation Reduction Act was passed into legislation, it spotlighted clean energy companies, and although the stocks were declining, it gave hope to investors. Financial pros started looking for names to put on their radar. The number one searched hydrogen and fuel cell stock over the last month has been Plug Power (PLUG). Amazon (AMZN) struck a deal with PLUG in August to power some of its operations with hydrogen. Part of the deal gives Amazon the right to buy up to 16 million PLUG shares. Shares of PLUG are down nearly 50% from its 52-week highs, but is now the time to get in? Plug Power’s Business Plug Power (PLUG) offers the world's only turnkey hydrogen and fuel cell solution. Its end-to-end clean hydrogen and zero-emissions fuel cell solutions for supply chain and logistics acquisitions, on-road electric vehicles, the stationary power market, and more. The company manufactures and sells fuel cell products to replace batteries and diesel generators in stationary backup power applications. PLUG has an impressive customer list: Amazon, Walmart, FedEx, The Home Depot, NASA, Boeing, and AT&T. The firm segments its business into the following categories: - Sales of fuel cell systems, related infrastructure, and equipment - Services performed on fuel cell systems and related infrastructure - Power purchase agreements - Fuel delivered to customers and related equipment [Financials ] A significant portion of its revenues comes from fuel cell systems, related infrastructure, and equipment sales. Financials [Financials ] PLUG has 5x its revenues from 2017 to 2021, going from $100.1 million to $502.3 million. This is shaping up to be the firm's best, with projections of $900 to $925 million. Moreover, clean energy legislation and the green hydrogen production tax credit should help its business immensely. The firm is sitting pretty, with $3.1 billion in total cash and total debt of $822.1 million. This is further evidenced by its current ratio, which stands at 9.1x. Valuation [Financials ] PLUG has not reached profitability yet, so it doesn’t have a P/E GAAP ratio. But the same is true for its competitors, Ballard Power Systems (BLDP), Bloom Energy (BE), and FuelCell Energy FCEL). Cummins Inc. (CMI) is not a pure play on hydrogen and fuel cells. However, it has the most advanced hydrogen fuel cell technology. The firm has a P/E GAAP ratio of 14.6x. PLUG has a price-to-sales ratio of 21x, significantly larger than its competitors. BLDP is at 18.1x, BE is at 3.6x, FCEL is at 12.4x, and CMI is at 1.2x. In addition, PLUG trades at an outrageous 16.5x enterprise value to sales ratio. BLDP is at 8.8x, CMI is at 1.1x, BE is at 5x, and FCEL is at 10.4x. Profitability [Profitability ] Good thing PLUG has the cash to burn because it has yet to become profitable. The firm has a profit margin of -105% and an operating margin of -94%. Its gross profit margins are negative at -20%. Meanwhile, BLDP, CMI, and BE have positive gross profit margins. Besides CMI, the entire group has a negative return on equity and return on assets. PLUG loses -$516 million cash from operations. Only CMI is positive at $2 billion. Luckily, the government supports the group because, alone, they would struggle. Growth [Growth] PLUG is experiencing solid growth. In 2021 it did $502 million in revenue, and this year it’s on pace to hit $900 million in revenues. Its quarterly revenue growth (YoY) is 21.4%. BLDP had -16% quarterly revenue growth (YoY), CMI at 7.8%, BE at 6.5%, and FCEL at 60.7%. [3 Immediate Threats to Your Wealth]( Three terrifying forces are converging to threaten your wealth. Force #1: The destruction of decent INTEREST you earn on your savings. Force #2: The rapid erosion of your PRINCIPAL through inflation and Force #3: The gut punch to your PORTFOLIO in the crashing stock market. I've prepared solutions to all these problems and more in my 7-step plan for 2022. [Click here for my 7-step plan for 2022]([Ad] Our Opinion 5/10 Shares of PLUG are down 17% year-to-date and nearly 50% off their 52-week highs. The company has a bright future with the government supporting clean energy legislation. Moreover, it has a strong relationship with Amazon and deals with Microsoft proving its world-class technology. However, it has a rich valuation. Any hiccups in execution can send the stock spiraling downward. We like the company but will only be buyers of dips. It’s too expensive at these levels. [We want to hear from you! Let us know your thoughts by clicking here]( # [submit to reddit]( [submit to reddit]( [submit to reddit]( [submit to reddit]( To ensure delivery of all emails, [whitelist us](. Update your email preferences or unsubscribe [here](. View our privacy policy [here](#). Copyright ©2022 InvestingChannel. All rights reserved. 1325 Avenue of the Americas, Floor 27 & 28 New York, New York 10019 Disclaimer: This is not investment advice. This InvestingChannel, Inc. newsletter is for information purposes only and opinion-based. 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