Hydrogen stocks are on the move.
All after Goldman Sachs said hydrogen generation could be a $1 trillion per year market.
“If we want to go to net-zero we can’t do it just through renewable power,” Michele DellaVigna, the bank’s commodity equity business unit leader for the EMEA region, told CNBC. “We need something that takes today’s role of natural gas, especially to manage seasonality and intermittency, and that is hydrogen.”
Its why investors may want to consider taking a position in stocks, such as:
Ballard Power Systems Inc. (BLDP)
After finding double bottom support around $9, BLDP is just starting to push higher. From a current price of $11.19, we’d like to see it test $15, as we near earnings in March 2022.
Helping, major automakers are looking to build hydrogen models, according to Reuters.
BMW for example is planning a model, and has built a hydrogen car prototype. Even Volkswagen’s Audi brand says its researching hydrogen technology.
One of the top stocks that could benefit from all of that is Ballard Power Systems. While the stock is down at the moment, don’t write it off just yet. As the hydrogen market grows, it should benefit the company.
Plug Power (PLUG)
Plug Power is also breaking higher on the Goldman Sachs news.
Plus, analysts seem to like the stock. Susquehanna analysts, for example, set a new price target of $26 a share on the stock. Morgan Stanley has even said the pullback in PLUG is overdone, with analysts setting a price target of $65.
Shares of PLUG last traded at $25.12 this afternoon.
Bloom Energy (BE)
Challenging prior resistance around $23, Bloom Energy could break out, and potentially test $26 a share next. Analysts at Susquehanna just upgraded the stock to positive from neutral, with a price target of $33 from $18.
As noted by TheFly.com, the firm, “believes the current escalation in geopolitical risks should provide a boost for hydrogen adoption, especially in Europe and other import-dependent markets. Bloom’s solid oxide fuel cells could be a key beneficiary given its fuel flexibility and higher efficiency.
