Close menu




August 11th, 2021 | 10:28 CEST

Nel ASA, First Hydrogen, Plug Power - Hydrogen market awaits impetus

  • Hydrogen
Photo credits: pixabay.com

Since sustainability and climate protection have come more and more into focus, the hype around hydrogen stocks has also been in full swing. This rally in almost all stocks continued until the end of January. Some of the company valuations were astronomically high. Since investors have been looking more at key figures, the share prices of hydrogen companies have been falling. The key objective is to lower the cost of hydrogen. That would make it economically viable, and the share prices of companies in the hydrogen market would rise significantly again. Currently, the market is waiting for impetus. A lot of funding is being made available in Europe and the USA for hydrogen development. Today we take a closer look at whether there is already impetus from the companies.

time to read: 3 minutes | Author: Armin Schulz
ISIN: NEL ASA NK-_20 | NO0010081235 , PURE EXTRACTION CORP. | CA74622J1012 , PLUG POWER INC. DL-_01 | US72919P2020

Table of contents:


    Jim Payne, CEO, dynaCERT Inc.
    "[...] The VERRA certification adds credibility to dynaCERT's emission reduction technologies by demonstrating compliance with internationally recognized standards for carbon emissions reductions and sustainable development. [...]" Jim Payne, CEO, dynaCERT Inc.

    Full interview

     

    Nel ASA - Q2 figures will probably be poor

    Nel ASA currently lacks news. Since the quarterly figures on May 4, there have only been three announcements. The Company has joined a consortium twice, namely pilot projects in the steel and wind power industries. This news is promising for the future, but only time will tell whether these projects are successful in the long term. On June 24, a framework agreement was signed with Howden. Here, Nel ASA supplies hydrogen compressors for the electrolyzers, which should provide an increase in sales.

    The Q1 figures were only convincing in terms of sales growth. However, the bottom line was a loss of around 580 million Norwegian Kroner (NOK), mainly due to the investments. That could not boost the share price. Also, the news that analysts received a letter indirectly announcing a warning ahead of the Q2 figures does not bode well for the figures to be presented on August 19.

    In addition, Trevor Milton, founder of Nikola and currently charged with multiple counts of fraud, sold 7.5 million shares of Nikola stock between Aug. 4 and 6. Since the lawsuit mentions inconsistencies in almost all aspects of the Company, the stake in Nikola is likely to continue to decline in value. Nel ASA's stock also broke a critical support level on August 5, so lower prices are to be expected. Before a break of the downtrend line, one should refrain from investing.

    First Hydrogen - Approval granted

    If you want to buy First Hydrogen at your broker, you will be disappointed. The Company is currently still listed under the name Pure Extraction. However, the renaming to First Hydrogen is already a done deal. The Canadian Company has launched to develop a zero-emission hydrogen fuel cell van. It aims to achieve this ambitious goal within a year by building its first prototype.

    The Company announced its collaboration with Ballard Power Systems and AVL Powertrain UK back on June 11. This collaboration still had to be approved by the TSX Venture Exchange. The approval was granted on August 6. In addition, a private placement of CAD 3 million at CAD 1.25 each was announced. The money will allow the development of the prototype to be completed. Costs for this have been put at CAD 2 million.

    The Company has chosen the right sector with the transportation business. Experts see better opportunities for hydrogen in trucking than for e-cars because of the current higher range. In addition, hydrogen tanks are significantly lighter than the batteries of e-cars. With the two renowned partners at its side, there is an opportunity for an investor to invest in the development of hydrogen-powered vans at a very early stage. Following news of the approval, the stock rallied to CAD 1.67.

    Plug Power - Positive outlook despite losses

    Plug Power released its second quarter results last Thursday after the market closed. Revenue was up 83% year-on-year and management raised its full-year guidance to USD 500 million, climbing 50% from 2020. At the same time, however, the Company continues to burn cash. Its quarterly loss came in at USD 99.6 million.

    Unlike Nel ASA, however, Plug Power does not own any investments that need to be written off on an ongoing basis. The money is going into projects that are expected to pay off in the future. Various joint ventures have been launched. In France, for example, the infrastructure for hydrogen filling stations is to be improved. In the USA, attempts are being made to produce green hydrogen, and a cooperation agreement has also been concluded with the hydrogen bus manufacturer BAE Systems.

    In contrast to the competition, the share was able to move away from its low for the year and is currently trying to establish an upward trend. The closing price should not fall below the low of USD 24.75. It remains to be seen whether management's positive expectations will be confirmed. The US subsidy programs in the hydrogen sector will certainly help the Company.


    The hydrogen sector is a market of the future. As soon as it is possible to reduce the price of hydrogen significantly, the breakthrough will be achieved. Until then, one should only invest in smaller hydrogen stocks such as First Hydrogen, as the market valuation has not yet risen to extreme levels. The bottoming out of Nel ASA should be awaited. Plug Power seems to have already bottomed out, but the overall valuation is still too ambitious.


    Conflict of interest

    Pursuant to §85 of the German Securities Trading Act (WpHG), we point out that Apaton Finance GmbH as well as partners, authors or employees of Apaton Finance GmbH (hereinafter referred to as "Relevant Persons") may in the future hold shares or other financial instruments of the mentioned companies or will bet on rising or falling on rising or falling prices and therefore a conflict of interest may arise in the future. conflict of interest may arise in the future. The Relevant Persons reserve the shares or other financial instruments of the company at any time (hereinafter referred to as the company at any time (hereinafter referred to as a "Transaction"). "Transaction"). Transactions may under certain circumstances influence the respective price of the shares or other financial instruments of the of the Company.

    Furthermore, Apaton Finance GmbH reserves the right to enter into future relationships with the company or with third parties in relation to reports on the company. with regard to reports on the company, which are published within the scope of the Apaton Finance GmbH as well as in the social media, on partner sites or in e-mails, on partner sites or in e-mails. The above references to existing conflicts of interest apply apply to all types and forms of publication used by Apaton Finance GmbH uses for publications on companies.

    Risk notice

    Apaton Finance GmbH offers editors, agencies and companies the opportunity to publish commentaries, interviews, summaries, news and etc. on news.financial. These contents serve information for readers and does not constitute a call to action or recommendations, neither explicitly nor implicitly. implicitly, they are to be understood as an assurance of possible price be understood. The contents do not replace individual professional investment advice and do not constitute an offer to sell the share(s) offer to sell the share(s) or other financial instrument(s) in question, nor is it an nor an invitation to buy or sell such.

    The content is expressly not a financial analysis, but rather financial analysis, but rather journalistic or advertising texts. Readers or users who make investment decisions or carry out transactions on the basis decisions or transactions on the basis of the information provided here act completely at their own risk. There is no contractual relationship between between Apaton Finance GmbH and its readers or the users of its offers. users of its offers, as our information only refers to the company and not to the company, but not to the investment decision of the reader or user. or user.

    The acquisition of financial instruments entails high risks that can lead to the total loss of the capital invested. The information published by Apaton Finance GmbH and its authors are based on careful research on careful research, nevertheless no liability for financial losses financial losses or a content guarantee for topicality, correctness, adequacy and completeness of the contents offered here. contents offered here. Please also note our Terms of use.


    Der Autor

    Armin Schulz

    Born in Mönchengladbach, he studied business administration in the Netherlands. In the course of his studies he came into contact with the stock exchange for the first time. He has more than 25 years of experience in stock market business.

    About the author



    Related comments:

    Commented by Fabian Lorenz on October 22nd, 2025 | 07:15 CEST

    HYDROGEN IS ALIVE! Bloom Energy, thyssenkrupp nucera, and dynaCERT! 1,000% not enough?

    • Hydrogen
    • greenhydrogen
    • cleantech
    • renewableenergies

    Plug Power has gained nearly 500% since May, proving that hydrogen is very much alive. The applications may be different from what was expected in the hype a few years ago - more specific and niche-focused. Investors are speculating that hydrogen will benefit from the energy boom driven by artificial intelligence. The same applies to Bloom Energy, whose stock has exploded by 1,000% over the past year. dynaCERT is active in an exciting niche, offering conversion kits for diesel engines ranging from trucks to container ships. Initial sales successes give hope for more. Will emission certificates follow? And what is Germany's hydrogen hope, thyssenkrupp nucera, doing? It remains in the shadow of TKMS. Still, one analyst sees upside potential of around 50%.

    Read

    Commented by André Will-Laudien on October 17th, 2025 | 07:10 CEST

    E-mobility and hydrogen take off – BYD, Nio, Graphano Energy, and Plug Power in focus!

    • Mining
    • graphite
    • Electromobility
    • Hydrogen
    • Fuelcells
    • renewableenergies

    The German government is resolutely driving forward the transition to e-mobility by 2035 - a clear signal at a time when climate targets and energy dependence are the subject of intense debate. The market for electric vehicles is benefiting from innovations in battery technologies and a growing charging infrastructure. Advances in solid-state batteries, silicon anodes, and new cathode materials are significantly increasing range, performance, and safety. Faster charging times and longer service life are making the switch increasingly attractive for consumers. At the same time, recycling processes and the circular economy are gaining in importance to conserve resources and promote sustainability. With government support and growing competition, enormous opportunities are emerging for manufacturers and investors. But while electromobility is booming, hydrogen is also increasingly becoming the focus of the energy transition as a complementary technology. Investors are free to decide where to invest for the best returns.

    Read

    Commented by Nico Popp on October 15th, 2025 | 07:10 CEST

    Hydrogen boom ahead: BMW, Toyota, Pure Hydrogen

    • Hydrogen
    • cleantech
    • greenhydrogen

    Has the hydrogen hype cooled off? Not at all! Large companies are still investing heavily in this energy carrier. Industrial companies, such as those in the chemical sector, as well as automakers like BMW and Toyota, are all offering innovations related to hydrogen. But hydrogen is not just a topic for large corporations. Smaller mid-sized companies also need solutions for renewable energy for their factories or vehicle fleets. This is where the Australian company Pure Hydrogen comes into play – the hydrogen specialists' focus is on holistic solutions.

    Read