Financial Contrast: Plug Power (NASDAQ:PLUG) versus Pioneer Power Solutions (NASDAQ:PPSI)

Plug Power (NASDAQ:PLUG) and Pioneer Power Solutions (NASDAQ:PPSI) are both industrials companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, earnings, profitability, analyst recommendations, risk, institutional ownership and dividends.

Volatility & Risk

Plug Power has a beta of 2.28, indicating that its share price is 128% more volatile than the S&P 500. Comparatively, Pioneer Power Solutions has a beta of 1.38, indicating that its share price is 38% more volatile than the S&P 500.

Insider & Institutional Ownership

43.5% of Plug Power shares are held by institutional investors. Comparatively, 10.9% of Pioneer Power Solutions shares are held by institutional investors. 1.4% of Plug Power shares are held by company insiders. Comparatively, 26.6% of Pioneer Power Solutions shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Plug Power and Pioneer Power Solutions, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Plug Power	6	6	5	1	2.06
Pioneer Power Solutions	0	1	2	0	2.67

Plug Power currently has a consensus price target of $2.42, suggesting a potential upside of 27.75%. Pioneer Power Solutions has a consensus price target of $9.50, suggesting a potential upside of 179.41%. Given Pioneer Power Solutions’ stronger consensus rating and higher probable upside, analysts plainly believe Pioneer Power Solutions is more favorable than Plug Power.

Profitability

This table compares Plug Power and Pioneer Power Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Plug Power	-292.84%	-90.22%	-50.27%
Pioneer Power Solutions	105.23%	-11.16%	-6.82%

Earnings and Valuation

This table compares Plug Power and Pioneer Power Solutions”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Plug Power	$676.17 million	3.24	-$2.10 billion	($2.37)	-0.80
Pioneer Power Solutions	$31.75 million	1.19	$31.85 million	($0.46)	-7.39

Pioneer Power Solutions has lower revenue, but higher earnings than Plug Power. Pioneer Power Solutions is trading at a lower price-to-earnings ratio than Plug Power, indicating that it is currently the more affordable of the two stocks.

Summary

Pioneer Power Solutions beats Plug Power on 8 of the 15 factors compared between the two stocks.

About Plug Power

Plug Power Inc. develops hydrogen and fuel cell product solutions in North America, Europe, Asia, and internationally. The company offers GenDrive, a hydrogen-fueled proton exchange membrane (PEM) fuel cell system that provides power to material handling electric vehicles; GenSure, a stationary fuel cell solution that offers modular PEM fuel cell power to support the backup and grid-support power requirements of the telecommunications, transportation, and utility sectors; ProGen, a fuel cell stack and engine technology used in mobility and stationary fuel cell systems, and as engines in electric delivery vans; GenFuel, a liquid hydrogen fueling delivery, generation, storage, and dispensing system; GenCare, an ongoing Internet of Things-based maintenance and on-site service program for GenDrive fuel cell systems, GenSure fuel cell systems, GenFuel hydrogen storage and dispensing products, and ProGen fuel cell engines; and GenKey, an integrated turn-key solution for transitioning to fuel cell power. It also provides electrolyzers, a hydrogen generator for clean hydrogen production; liquefaction systems that provides liquid hydrogen to customers; cryogenic equipment for the distribution of liquified hydrogen, oxygen, argon, nitrogen and other cryogenic gases, including trailers and mobile storage equipment; and liquid hydrogen, an alternative fuel to fossil-based energy. The company sells its products through a direct product sales force, original equipment manufacturers, and dealer networks. Plug Power Inc. was incorporated in 1997 and is headquartered in Latham, New York.

About Pioneer Power Solutions

Pioneer Power Solutions, Inc., together with its subsidiaries, design, manufacture, integrate, refurbish, distribute, sell, and service electric power systems, distributed energy resources, power generation equipment, and mobile EV charging solutions. The company operates through Electrical Infrastructure Equipment and Critical Power Solutions segments. The Electrical Infrastructure Equipment segment provides electric power systems that help customers effectively and efficiently protect, control, transfer, monitor, and manage their electric energy requirements. It also offers e-Bloc power systems, power systems, and circuit protective equipment related products. The Critical Power Solutions segment provides power generation equipment maintenance, repairs, remote monitoring, and equipment services, and EV charging solutions. This segment offers suite generator on a truck and power generation equipment, and repair, maintenance, and support services. Pioneer Power Solutions, Inc. serves utility, industrial, and commercial markets. The company was founded in 2008 and is headquartered in Fort Lee, New Jersey.