Boston, MA 03/04/2014 (wallstreetpr) – Plug Power Inc. (NASDAQ:PLUG) has been the subject of a massive surge in the market over the past two trading sessions. This is especially after announcing its deal with Wal-Mart stores, Inc. (NYSE:WMT) for the supply of fuel cells. March 3, 2014 saw the company’s stock surge to a one year high of $5.83 as a result of Wal-Mart deal. The deal will involve Plug Power supplying Wal-Mart with 1700 Hydrogen fuel cell solutions that will be used to power a fleet of electric trucks in some of the distribution centers in North America.
The deal with Wal-Mart could be an indication of possible future deals with other companies such as Coca-Cola Company (NYSE:KO), Kroger Co. (NYSE:KR) and Sysco Corporation (NYSE:SYY). These deals should have a significant impact on Plug Power net annual revenue and considerably impact the company’s stock price. Plug Power plans to report its fourth quarter and full year results on March 13, 2014 with the latest deals not expected to have any impact on the results
Plug Power strong order book
Plug Power Inc. (NASDAQ:PLUG) deal with Wal-Mart stores, Inc. (NYSE:WMT) is expected to boost the company’s already strong order book with effects already being evident as stock have surged by 19% since the start of the year. Plug Power has not disclosed the value of the deal although there has been speculation from Cowen & Co analyst Robert that the deal may be worth $50 million.
Plug Power order book has been growing since French Industrial gas company Air Luquide announced it had invested $6.5 million in the company. This has essentially gone forth to increase the production capacity of Plug Power enabling it meet its stock orders.
Plug Power Inc. (NASDAQ:PLUG) booked orders as of December 31 stood at $32 million and expected to grow even further in the current fiscal year. Wal-Mart stores, Inc. (NYSE:WMT) has already placed an order of 1,738 fuel cells for two years adding to the already 535 units in the US and Canada.
Plug Power Inc. (NASDAQ:PLUG) continued to surge in the market going up by 24.63% in Monday trading session to close at highs of $5.82
