Plug Power jumps 13% after it partners with Airbus to study and develop hydrogen-powered air travel
- Plug Power surged 13% on Wednesday after the company inked hydrogen partnerships with Airbus and Phillips 66.
- The hydrogen fuel-cell developer will work with Airbus on a hydrogen-powered airport feasibility study.
- Plug Power also said it signed a MOU with Phillips 66 to collaborate on hydrogen business opportunities.
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Plug Power surged as much as 13% on Wednesday after the hydrogen fuel-cell developer said it inked partnerships with Airbus and Phillips 66.
The Latham, NY-based company partnered with Airbus to conduct a feasibility study of bringing hydrogen to future aircraft and airports. Airbus is working towards a goal of bringing zero-emission aircraft to market by 2035, and it thinks hydrogen could play a role in that goal.
Airbus will work closely with Plug Power to develop a joint study and roadmap that could deliver hydrogen to aircraft and the airport ecosystem in the future. Plug Power will build deployment scenarios for green hydrogen infrastructure at airports, while Airbus will provide insight on hydrogen aircraft characteristics.
"This partnership with Plug Power will enable us to leverage their expertise to decarbonize airports while preparing them for the arrival of hydrogen aircraft by 2035," Airbus Vice-President Glenn Llewellyn said.
Separately, Plug Power signed a memorandum of understanding to collaborate on the development of hydrogen-based business opportunities with Phillips 66, a diversified oil refiner that also operates retail gas stations.
The companies will explore how to deploy Plug Power's technology within Phillips 66's operations, including scaling hydrogen into the industrial sector, advancing hydrogen fueling opportunities, and developing hydrogen-related infrastructure.
Also aiding to a boost in Plug Power's stock on Wednesday is an upgrade from Morgan Stanley. The bank raised its price target on Plug Power to $40 from $35, representing potential upside of 34%, and upgraded it to "Overweight" from "Equal-weight."
