Citi Analyst Initiates Pair Trade - Long Plug Power Versus, Short Ballard Power - Ballard Power Systems (NASDAQ:BLDP), Plug Power (NASDAQ:PLUG)

Citi analyst P.J. Juvekar downgraded Ballard Power Systems Inc BLDP to Neutral from Buy with an unchanged price target of $19.
Juvekar sees risk from slower adoption of fuel cells, policy uncertainty in China, and higher near-term costs. Ballard Power's sales growth inflection is likely deferred until 2023.
P.J. Juvekar raised the price target on Plug Power Inc PLUG to $56 from $35 and maintained a Buy rating on the shares.
Juvekar sees "several catalysts" for the company, including the ramp-up of its green hydrogen network beginning in the second half of 2022 and improving fuel gross margins.
Juvekar believes Plug Power will outperform Ballard Power in the near term with its "hydrogen ecosystem" strategy providing hydrogen fuel, electrolyzer, and fuel cells.
The analyst initiates a pair trade of long Plug Power versus a short of Ballard Power.
Also read, Plug Power Stock Flies Higher After Breaking Out From Pennant Pattern: What's Next?
Price Action: BLDP shares are trading lower by 4.88% at $16.97, while PLUG is higher by 1.51% at $43.76 during the premarket session on Wednesday.