Is Plug Power (PLUG) Stock a Buy Now?

By Scott Levine – Feb 21, 2026 at 5:48AM ESTKey PointsPlug stock has dipped almost 60% from its 52-week high.The company has grown revenue at an impressive clip over the past decade, but profits have remained elusive.Unlike Plug, Bloom Energy has generated consistent revenue.These 10 Stocks Could Mint the Next Wave of Millionaires ›NASDAQ: PLUGPlug PowerMarket Cap$2.6BToday's Changeangle-down(-2.09%) $0.04Current Price$1.87Price as of February 20, 2026 at 4:00 PM ETThis hydrogen stock has notched some successes recently. Could it finally be time to click the buy button?Tumbling more than 16% over the past month, Plug Power (PLUG 2.09%) stock has fallen out of favor over the past few weeks. With the recent plunge, shares of the fuel cell and hydrogen specialist are now down about 59% from their 52-week high as of this writing. But smart investors know that simply because the market has taken a bearish stance on a stock doesn't mean it's unworthy of being added to their portfolios. With this in mind, let's take a closer look at the bull and bear arguments. Image source: Getty Images. Bulls believe... The recent drop in Plug stock belies the fact that many investors recognize it as a great growth opportunity, a route to gain exposure to the burgeoning hydrogen industry. ExpandNASDAQ: PLUGPlug PowerToday's Change(-2.09%) $-0.04Current Price$1.87Key Data PointsMarket Cap$2.6BDay's Range$1.83 - $1.9652wk Range$0.69 - $4.58Volume85MAvg Vol98MGross Margin-7128.74% For several years, the company has demonstrated success at attracting customers and growing revenue. From 2014 through 2024, for example, Plug has grown its top line by about 880%. This sales growth is complemented by the company's progress toward profitability. In March 2025, Plug Power announced a cost-savings initiative dubbed Project Quantum Leap. Already, the company is recognizing benefits from the program's implementation. For the nine-month period ending Sept. 30, 2025, Plug reported a gross profit margin of negative 51.1%, an improvement from the negative 89.3% it reported during the same period in 2024. Optimistic about further progress toward profitability in the coming years, management laid out a timeline during an October investor presentation that included a target of achieving breakeven on a gross profit basis by the end of 2025, and achieving positive earnings before interest, taxes, depreciation, amortization, and share-based expense (EBITDAS) by the end of 2026. Ultimately, management foresees Plug achieving overall profitability by the end of 2028. With Plug shares trading at 2.9 times trailing sales, a discount to their five-year average price-to-sales ratio of 3.9, bulls are positive that now's a great time to pick up Plug stock. But bears contend... Sure, revenue growth is great, but bears aren't impressed. Those pessimistic about Plug's prospects focus on the company's bottom line rather than the top of the income statement. While Plug's advocates contend that the company is a growth stock, skeptics refute that claim, pointing out that the company, founded in 1997, has been around for nearly three decades. The company's persistent lack of profitability, therefore, isn't as understandable as it is with upstart companies that are making material progress toward generating profits. PLUG Revenue (Annual) data by YCharts. And while management has provided an auspicious timeline that projects the company breaking even on gross profit, EBITDAS, and net income bases over the next three years, those who have followed Plug for several years know that management has a long history of underdelivering on expectations. Plug's profitability problems are even more glaring when juxtaposed with Bloom Energy's (BE 7.20%) success. Like Plug, Bloom Energy is one of the leading hydrogen stocks available to investors, but unlike Plug, Bloom has demonstrated the ability to consistently generate profits. Earlier this month, Bloom Energy reported fourth-quarter 2025 financial results, which included diluted earnings per share (EPS) of $0.45. Bloom has reported adjusted diluted EPS of $0.76 and $0.28 for 2025 and 2024, respectively. Whether it's an investment in a hydrogen stock, such as Bloom Energy, or in a hydrogen exchange-traded fund, Plug bears recognize a variety of options to gain hydrogen industry exposure. Forget the bulls' beliefs -- watch Plug from the sidelines While Plug deserves credit for growing sales over the past few years and for implementing its cost-reduction initiative, Project Quantum Leap, it seems a little hasty to deem the stock a buy right now. For most investors, the best approach is to see if the company continues achieving success in reducing expenses and driving closer toward profitability, or if it falters as it has done so many times in the past.Read NextFeb 9, 2026 •By Matt DiLalloWhy I'm Watching Plug Power for a Potential Long-Term Income PivotFeb 6, 2026 •By Scott LevineWhy Plug Power Stock Popped TodayFeb 2, 2026 •By Leo SunPlug Power Stock: Dead, or a Future Clean-Energy Beast in the Making?Jan 26, 2026 •By Matt DiLalloWhere Will Plug Power Be in 3 Years?Jan 22, 2026 •By Howard SmithStock Market Today, Jan. 22: Plug Power Jumps on CEO Reddit Q&A Addressing Funding and Walmart Agreement UpdateJan 22, 2026 •By Rich SmithWhy Plug Power Stock Just PoppedAbout the AuthorScott Levine is a contributing Motley Fool stock market analyst covering energy, industrials, technology, and materials. He is also a high school English teacher and a small business owner. He holds a bachelor’s degree in English and creative writing from Binghamton University, a master’s degree in secondary education from Adelphi University, and an advanced certificate in school building leadership from CUNY Queens College. A crossword puzzle enthusiast, he has solved more than 3,100 New York Times puzzles with a 97% solve rate.TMFProudMonkeyX@TMFProudMonkeyStocks MentionedPlug PowerNASDAQ: PLUG$1.87 (2.09%) $0.04Bloom EnergyNYSE: BE$147.55 (7.20%) $11.45*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.