Stock Market Updates and PLUG power earnings update

                                                STOCK MARKET UPDATE - 5|9|22

The stock market is in turmoil. No new news but Inflation, interest rate, possible economy slowdown are rattling the market. Nasdaq has been falling like a rock. During my investment career, I have seen such move a few times - 2000 .com burst, 2008-09 financial crisis, 2018 December, 2020 March (COVID) and now in April/May 2022. S&P 500 closed below its 4000 level and that’s not a great sign. It’s hard to digest, particularly technology stocks are one of their worst time probably since those .com days! During COVID stock market went down fast but regained quickly as Fed stepped in. But now Fed has stepped out, they are increasing interest rate and start reducing asset buying program. So, what is the strategy? Well, when everything is hammered, no strategy works. So, better to keep cool and reposition the portfolio by removing stocks which may have hard time going forward to bounce back and put those money on stocks who came with good results but still beaten down. It would not be advisable on my part to name the stocks as there are lot of uncertainties. So, I live it to individual discretion. But I can share my thoughts if anyone has any specific question. As I said last week in my WhatsApp group, the market is waiting for CPI number to be published this Wednesday, 5/11. That’s extremely important and market can possibly bounce back or further go down before bouncing back. Persistent fall of Bitcoin is also impacting the stocks. This is hard time for all of us and we are all on the same boat. It’s painful but we will journey together!! 

PLUG Power (PLUG) Q1 Earnings Update
Today, PLUG reported its Q1 earnings. Revenue came at $140.8 million compared to $72 million for the first quarter of 2021. The loss was 0.27 better than estimate. The Company has guided $925 million in revenue for 2022, 85% growth year over year. Everything about the company and the industry suggests continued strong growth for the foreseeable future. Profitability will only grow closer as the coming months or couple of years approach. For now, the stock price defies logic, but those can be the times one can make the most money if your situation is right in terms of patience, finances, and nerves etc. after seeing the results and going through the conference call I am still optimistic about company’s future. The stock was down 9.74% in the after hour trading. I don’t know how much further it can fall. But in my view, this is a stock to won for future, unless there is any U turn. Having said that, it needs lot of patience and emotion to sail through such different market turmoil and take a calculated risk!! 

Disclaimer: I am not a financial advisor. These are just my personal opinion, not an advise to buy/sell any equity. One must do his/her due diligence before taking any action. 

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