Time for savvy buyers! Should you get in now with thyssenkrupp, Plug Power, Nel ASA, Pure Hydrogen, or nucera?

Plug Power and Nel ASA – This could be the bottom

The hydrogen sector, with its main players Plug Power and Nel ASA, has entered a highly volatile market phase. Although promising orders are now being recorded after months of drought, the valuation of industry leader Plug Power fluctuates by hundreds of millions of USD every day. Technically, after leaving the sell-off zone of USD 0.75 to USD 1.25, a new support base between USD 1.75 and USD 2.25 has now formed after three successful capital increases. An initial sharp breakout attempt pushed the price up to USD 4.70, a gain of over 200% in just 10 trading days. Tragically, however, the sell-off of the last three weeks, with a 50% discount, brought the price back down to the breakout zone at USD 2.35. Many investors are therefore likely to have been stopped out of the stock again. From an analytical perspective, the current market capitalization of USD 3.3 billion represents approximately two estimated revenues for 2027. This means that the P/E multiple has at least normalized compared to earlier hype valuations. There is now renewed hope that valuations will rise again in a future energy transition boom. Traders are also certainly enjoying the high price momentum.

Things are slightly calmer at Norwegian competitor Nel ASA. The Company has been able to take off from NOK 2.15 to NOK 2.75 in recent days with a USD 50 million order from Kaupanes Hydrogen AS and HyFuel AS in Norway. The stock market apparently celebrated the second-largest single order Nel has ever received. The new 40 MW hydrogen production plant will be built at the offshore supply base in Florø. In the long-term chart, this could be the initial spark for a successful turnaround. The stock has had a loyal shareholder base for years. It would be nice if Nel ASA, after losing more than 80% of its value over the last three years, could regain a firm foothold on the capital markets as a protagonist of green energy projects in Europe. We are adding Plug Power and Nel ASA to our shortlist because they offer welcome diversification in the hyped AI high-tech environment.

Pure Hydrogen – Innovation and sustainability as drivers of global growth

Plug Power and Nel ASA face a specialized competitor in Australia with Pure Hydrogen. The Company is increasingly positioning itself as a strategically interesting player in the international hydrogen sector. With a technology-neutral approach, the Australians clearly differentiate themselves from many competitors. The focus is on the production of green hydrogen from renewable energy, as well as the development of turquoise H2 technologies based on methane pyrolysis and emerald hydrogen solutions with a targeted negative carbon footprint. Pure Hydrogen is not only developing the hydrogen itself, but also the downstream application technology, from commercial vehicles and generators to mobile refueling systems. Through partnerships with Botswana H₂ and Botala Energy, Pure Hydrogen is also securing access to African growth regions.

The figures available for the full year 2024/25 (June 30, 2025) show a 156% increase in revenue to AUD 4.55 million, with an operating cash flow of AUD 409,000 achieved in the final quarter. Together with a capital increase of AUD 1 million, this brings the cash position on the reporting date to over AUD 2 million. The strong growth continues in the first quarter. New distribution agreements with FRN Enterprise in Argentina and Hydrogen Diesel Electric Australia expand the Company's geographical reach in both South America and its home market. At the same time, Pure Hydrogen is expanding its presence in the US, a key market for zero-emission heavy-duty mobility, through its cooperation with the GTS Group in California. Customer traction is also improving. Orders worth millions from Scott Lovatt Transport and Heidelberg Materials Australia demonstrate the Company's growing market acceptance. Riverview International Trucks' interest in hydrogen-powered refuse trucks also points to a possible entry scenario into the North American municipal vehicle market. After strong gains since March, the stock has slowed down somewhat. With prices around AUD 0.085, the Company is now valued at around AUD 32 million. Compared to the sector, Pure Hydrogen is therefore extremely cheap.

thyssenkrupp nucera – Slower than expected

Amid high expectations, thyssenkrupp listed its hydrogen subsidiary nucera on the Prime Standard of the Frankfurt Stock Exchange in July 2023. With an issue price of EUR 20, the spin-off generated gross inflows of EUR 526 million for the subsidiary, a solid capital injection for further growth. Strategically, thyssenkrupp nucera aims to position itself as one of the best-positioned players in the electrolysis market for green hydrogen. This is not just a slogan, but is being proven worldwide with technology "Made in Germany." With over 10 GW of installed capacity in the chlor-alkali sector, the Company already has a long-standing profitable core business that financially secures its ambitious growth strategy in the hydrogen segment. International renown is gained through large-scale projects such as NEOM in Saudi Arabia, where an electrolysis plant with a capacity of more than 2 gigawatts is being built to produce green hydrogen. The project will use flexible 20 MW modules for alkaline water electrolysis. The hydrogen produced is then synthesized into climate-neutral ammonia and exported globally via the partner Air Products. The project is scheduled to go into operation in 2026.

After nine months, thyssenkrupp nucera has returned to profitability with a 9% increase in revenue, but ultimately only achieved a small EBIT surplus of EUR 4 million. For the year as a whole, management anticipates revenues of EUR 850 to 920 million and a balanced result. Deutsche Bank Research downgraded its rating from "Buy" to 'Hold' in October, leaving its target price unchanged at EUR 12. It criticizes the slow generation of orders in the "green hydrogen" segment, which has led to a 30% reduction in the revenue estimate for 2025/26. On the LSEG platform, only 6 out of 13 analysts are still giving the thumbs up, but the average 12-month price target is still EUR 11.85. From the current price of around EUR 8.45, that represents a potential 40% upside. After the recent sharp correction, this makes the stock very interesting again.

In recent years, the hydrogen sector has impressively increased its relevance in achieving climate neutrality. However, compared to other energy generation methods, H2 technologies still need to become significantly more cost-competitive. Nevertheless, the selected projects of the industry's leading players are impressive. While Plug Power and Nel ASA urgently need additional public contracts, Pure Hydrogen stands out as an internationally active solutions provider. Sector consolidation is now creating attractive entry opportunities.