Shares of hydrogen fuel-cell energy company Plug Power, Inc. (NASDAQ:PLUG) slipped in premarket trading on Thursday, with a negative analyst action potentially the downside trigger.

Jefferies analyst Dushyant Ailani reduced the price target for Plug Power shares from $2.20 to $2, while maintaining a Hold rating, according to StreetInsider. The stock is down 52% for the year-to-date period as fundamentals falter. In early August, the company reported a decline in its second-quarter revenue and a wider loss, although the net loss per share narrowed due to an increase in outstanding shares.

After raising a "going concern" warning in late 2023, the company came back a quarter later to reassure investors that it has sufficient cash to finance ongoing operations for the foreseeable future.

Ahead of the release of the second quarter results, the company raised $200 million in gross proceeds through a common stock offering. In early September, the company announced it had received a $10 million grant from the U.S. Department of Energy to demonstrate next-generation hydrogen refueling infrastructure for medium and heavy-duty vehicles at scale.

In premarket trading, the stock slipped 1.39% to $2.13, according to Benzinga Pro data. Jefferies new price target suggests an incremental downside risk of around 7.41%.

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