TheStreet Reiterates Plug Power's (PLUG) Sell Rating

NEW YORK (TheStreet) -- Despite recent share price gains, TheStreet Ratings team reiterates Plug Power's (PLUG) "sell" rating. The fuel cell developer popped 5.4% to $2.75 on Monday, adding to an overall 76.9% gain since the first trading session of the year last Thursday.

Last week, the small-cap was soaring after exceeding expectations with its fourth-quarter orders. The company said it met its fourth-quarter 2013 order targets, totaling approximately $32 million and including contracts with Walmart (WMT), Kroger (KR) and Procter & Gamble (PG).

"As we significantly grow the business, Plug Power will increase its value-add for each customer through building our product base and establishing recurring revenue streams through hydrogen and service," said CEO Andy Marsh in a statement.

"Plug Power has seen significant traction closing out 2013, and we expect the first quarter of 2014 bookings to meet or exceed the fourth quarter of 2013," Marsh continued.

The Latham, NY-based business will report full fourth-quarter figures on Jan. 14.

TheStreet Ratings team, however, reiterates PLUG POWER INC as a Sell with a ratings score of D-. The team has this to say about their recommendation:

"We rate PLUG POWER INC (PLUG) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income and disappointing return on equity."

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