Plug Power (NASDAQ: PLUG), an American company developing hydrogen fuel technology, has skyrocketed up to 2,100% in the last year, influenced by a positive market sentiment and investors appetite for renewable companies.
These incredible returns have attracted the attention of many retail investors. In fact, it is currently the 16th most owned stock on Robinhood.
However, Plug reported an accounting error to investors on Wednesday related to numerous non-cash expenses. The company stated that it will go over the financial reports for fiscal year 2018, 2019 and quarterly filings for 2019 and 2020.
CEO Andy Marsh said “there is no expected impact to our cash position, business operations or economics of commercial arrangements.” However, investors still reacted very negatively to the news, driving it down to its current level, which is 46% below its all-time high.
Is the 8% fall an overreaction, or is Plug still trading far above what it’s worth? Let us know in the comments below!