Anything related to clean energy today is having a wonderful time, and fuel cell stocks are not being left out of the party.
Both Plug Power (NASDAQ:PLUG) and FuelCell Energy (NASDAQ:FCEL) are having impressive days. Currently, PLUG stock has shot 7% higher, while FCEL stock is a remarkable 22% higher at the time of writing.
These moves are obviously not normal. In fact, for hydrogen fuel cell stocks, the opposite has been true more often than not. Since February, both Plug Power and FuelCell Energy have seen tremendous bearish momentum. Investor interest in the renewable energy space, boosted by President Joe Biden’s initial campaign promises, has waned of late.
However, this weekend brought about a key catalyst for clean energy investors. Let’s dive into what investors are watching with green sectors today.
Biden’s Infrastructure Bill Boosts Fuel Cell Stocks
After the close of trading on Friday, Democrats announced the passage of an extremely important bill. Biden’s highly anticipated $1 trillion infrastructure bill has officially cleared the House of Representatives. For investors in fuel cell stocks, the passage of this bill is a big deal.
That’s because this infrastructure bill earmarks specific funds to improve clean energy-related infrastructure, largely as it relates to transportation. While most of this funding will go to EV charging stations, there is money set aside to help grow the renewable hydrogen and fuel cell space into a viable commercial option.
The hydrogen fuel cell space is one that’s been around for decades. Seemingly always a technological breakthrough away from becoming mainstream, FCEV companies have recently given way to the battery EV space. That’s not to say fuel cell electric vehicles can’t take a bite out of this market. It’s just a race that’s likely to get harder the more entrenched battery technology gets.
For now, this infrastructure bill appears to be a win for hydrogen fuel cell stock investors. Keep a close eye on this series of events.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
