Plug Power Inc. (NASDAQ: PLUG) was a big mover in yesterday’s trading session, closing the day with gains of 18.27%. This came after the company announced that, it had won a $172 million contract from a Fortune 100 company.
The company stated that, it got the order towards the end of 2019 for the supply of hydrogen fuel cells units, and for storage and dispensing infrastructure that will run across the unnamed company’s distribution lines. The company further stated that, the contract will run for two years.
It also stated that, the announcement was a huge step towards attaining its goal of $1 billion in revenues by the year 2024. The billion-dollar revenue plan was first announced in September 2019, and its roadmap to achieving it was through new customer agreements, creating new sales channels, and pushing for more growth in the European market.
The company further stated that, its target of $1 billion will mainly come from its core anchor customers namely: Walmart and Amazon. The rest will come from multisite clients that it targets to add at a rate of one per year. Its target is to sell 25k units annually by the year 2024.
Commenting on the deal, CEO Andy Marsh said that, the company’s main area of growth remains the materials handling industry. He further stated that, the size of the deals that the company was getting was a key indicator that so far, customers were moving the materials handling business. He further added that, the company was combining this growth with market expansion in other markets such as the stationary power, and in electric vehicles, as it rallies towards the $1 billion revenue mark.
From its price action, PLUG is currently gaining upside momentum. In yesterday’s session, it opened at $3.43 and rallied to a high of $3.87 before closing the day at $3.82. Volumes stood at 39.28 million.
About Plug Power Inc.
Plug Power Inc. is an alternative energy company that deals in hydrogen and fuel cell systems. It is based in Latham, New York.