Revenue Beat Electrifies Plug Power Stock

The equity is up over 400% year-over-year

Deputy Editor
Jun 22, 2021 at 10:36 AM
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The shares of Plug Power Inc (NASDAQ:PLUG) are getting a jolt this morning, last seen up 4.9% at $31.30, as investors look past the firm's wider-than-expected first-quarter loss of 12 cents per share to its impressive revenue beat, as product revenue more than doubled since last year. The company also reaffirmed its recently raised gross billings target for 2021, and 2024. 

While PLUG has dropped considerably from its Jan. 26, 15-year high of $75.49, several layers of support have helped contain these losses, including the 320-day, and more recently, the 30-day moving averages. The equity sports an impressive 469.3% year-over-year lead. Today, PLUG is running back up to recent pressure at its 80-day moving average, which rejected a rally earlier in the month. 

Option traders are coming out in droves in response to PLUG's quarterly report. So far, 80,000 calls and 20,000 puts have exchanged hands -- four times the intraday average. The most popular is the weekly 6/25 32-strike call, where positions are being sold to open. The 31-strike call in this same weekly series is also popular, with positions being opened here. 

Now looks like a good time to get in on PLUG's next move with options, too. The equity's Schaeffer's Volatility Index (SVI) of 82 stands higher than only 12% of readings from the past 12 months. This implies options players are pricing in relatively low volatility expectations at the moment. Plus, the stock's Schaeffer's Volatility Scorecard (SVS) ranks at 98 out of a possible 100. In other words, Plug Power stock has tended to exceed these expectations -- a boon for buyers. 

 

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