Plug Power stock price crashed from $75 to $1: what next?

Core Viewpoint - Plug Power's stock price has significantly declined from a high of $75.45 in January 2021 to a record low of $1, resulting in a market cap drop from over $42.21 billion to $960 million, leading to investor losses exceeding $41 billion [1][2]. Industry Concerns - The hydrogen energy industry faces challenges, highlighted by Nikola's bankruptcy and Toyota's withdrawal from hydrogen vehicle production, raising doubts about future demand for Plug Power's products [2][3]. - The auto sector, a key consumer of liquid hydrogen, is critical for Plug Power's business prospects [3]. Financial Performance - Plug Power has been characterized as a "perennial cash burning machine," with an operating cash flow of $1.3 billion in 2023 and a cash outflow of $797 million projected for 2024 [5][6]. - Over the past five years, the company has experienced cash outflows exceeding $4 billion, although management anticipates improvements as revenue increases and costs are cut [6]. - Annual revenue for 2024 is projected at over $618 million, a decrease from $880 million the previous year, but analysts expect revenue to rise to $746 million this year and $1.02 billion next year [6][7]. Stock Price Analysis - The stock has been in a strong bearish trend, recently falling below the crucial support level of $1.60, the lowest swing from September of the previous year [10][11]. - Technical indicators suggest continued bearish control, with the Percentage Price Oscillator (PPO) below the zero line and the Relative Strength Index (RSI) in oversold territory [11]. - The stock is likely to continue its decline, with sellers targeting a key support level at $0.50, while a rise above $1.60 could invalidate the bearish outlook [12].