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Plug Power (PLUG) to Report Q3 Earnings: What to Expect?

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Plug Power Inc. (PLUG - Free Report) is scheduled to release third-quarter 2023 financial numbers on Nov 9, after market close.

The company has a bleak earnings surprise history, having missed the Zacks Consensus Estimate in each of the preceding four quarters.

Let’s see how things have shaped up for Plug Power this earnings season.

Plug Power, Inc. Price and EPS Surprise

Plug Power, Inc. Price and EPS Surprise

Plug Power, Inc. price-eps-surprise | Plug Power, Inc. Quote

Factors to Note

Plug Power’s third-quarter results are expected to benefit from the December 2022 acquisition of the subsidiaries of Cryogenic Industrial Solutions, Alloy Custom Products and WesMor Cryogenics, which has expanded the company’s production capabilities for stainless steel and aluminum cryogenic transport truck-mounted cryogenic pressure vessels, cryogenic transport trailers, and other mobile storage containers. The Zacks Consensus Estimate for PLUG’s third-quarter revenues indicates a 30.7% jump from the year-ago reported number.

The company is expected to generate higher revenues from fuel delivered to customers and related equipment due to an increase in the number of sites with fuel contracts. The Zacks Consensus Estimate for revenues from fuel delivered to customers and related equipment suggests a 58.8% surge from the year-ago reported number.

An increase in revenues related to hydrogen site installations, liquefiers, cryogenic equipment, and electrolyzer stacks and systems is expected to have boosted revenues from sales of equipment, related infrastructure and others. The consensus mark for revenues from the sale of equipment, related infrastructure and others indicates a 17.7% rise from the year-ago reported number.

Expanding customer base is likely to drive revenues from services performed on fuel cell systems and related infrastructure. The Zacks Consensus Estimate for revenues from services performed on fuel cell systems and related infrastructure for the third quarter hints at a 31.4% jump from the year-ago reported figure.

However, high energy prices and inflationary pressure may dent Plug Power’s third-quarter results. Amid the tight labor market, labor shortages are expected to result in higher costs for the company, thus hurting its bottom line.

What the Zacks Model Unveils

Our proven model suggests an earnings beat for Plug Power this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as elaborated below. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Earnings ESP: Plug Power has an Earnings ESP of +0.37%.

Zacks Rank: The company presently carries a Zacks Rank #3.

Highlights of Q2 Earnings

Plug Power incurred a loss of 35 cents per share, wider than the Zacks Consensus Estimate of a loss of 28 cents. The amount of loss also increased on a year-over-year basis. Total revenues of $260.18 million surpassed the Zacks Consensus Estimate by 9.61%. The top line soared approximately 72% year over year.

Other Stocks to Consider

Here are some other companies within the broader Industrial Products sector, which according to our model, have the right combination of elements to beat on earnings this reporting cycle.

LegalZoom.com (LZ - Free Report) has an Earnings ESP of +17.65% and a Zacks Rank #2. The company is slated to release third-quarter 2023 results on Nov 7. You can see the complete list of today’s Zacks #1 Rank stocks here.

LegalZoom.com delivered a trailing four-quarter earnings surprise of 10.4%, on average.

Albany International (AIN - Free Report) has an Earnings ESP of +5.88% and a Zacks Rank #3. The company is slated to release third-quarter 2023 results on Nov 6.

Albany International pulled off a trailing four-quarter earnings surprise of 12.5% on average.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


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