PLUG notes ..
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Friday January 7, 7:06 pm Eastern Time
Plug Power, affiliates surge on internet mention
By Jim Brumm
NEW YORK, Jan 7 (Reuters) - The stocks of three related companies -- Plug Power (NasdaqNM:PLUG - news), Mechanical Technology (NasdaqNM:MKTY - news) and SatCon Technology (NasdaqNM:SATC - news) -- surged on heavy trading this week as investors discovered a new form of technology -- energy technology.
The gains came as a MSFT MoneyCentral column Wednesday did what brokerage recommendations couldn't do in October -- focused investors on fuel cell technology.
A product of space exploration, fuel cells are now being developed to power everything from hand-held computers to major factories.
Plug Power, which was formed by Market Technology and DTE Energy Co. (NYSE:DTE - news) in May 1997, is preparing to test models of its fuel cell in New Jersey and Georgia.
However, when the company claimed last month its demonstration home was the first to be powered by a fuel cell using natural gas, earlier tests by other fuel cell developers were quickly pointed out.
Analysts at First Albany, Merrill Lynch and Goldman Sachs started recommending purchase of Plug Power in November.
By Dec. 10, the stock had climbed to 34-1/2 from an initial offering price of 12 in October. Form there it drifted lower until this past Wednesday when MoneyCentral columnist Jon D. Markham said Plug Power was one the stocks mentioned when he asked readers to think about the best holds of the 2000s -- stocks that could gain 10,000 percent or more in the first decade of the century.
From a 26-1/4 low Wednesday, the stock surged to a high of 84-3/4 Friday, ending the final session of the week up 42-3/4 at 79 on a volume of nearly 6 million shares.
Mechanical Tech, which still holds 32.5 percent of Plug Power's stock, jumped from a low of 19 Wednesday to a new high of of 36-1/2 Friday and ended the session at 35-1/2, up 12.
In October, Mechanical Tech exchanged some of its technology and cash for a 16 percent stake in SatCon, which got warrants to buy Mechanical Tech stock. From a low of 8 Wednesday, SatCon advanced to a high of 12-3/8 Friday and ended the session at 11-1/2 up 2-1/16.
DTE, which still holds 32.8 percent of Plug Power, advanced 1/16 to 31 Friday.
Other Plug Power owners include General Electric Co. (NYSE:GE - news), with 12.4 percent, which gained 5-15/16 to 151-5/16 Friday; and Sempra Energy (NYSE:SRE - news), which slipped 3/8 to 18.
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Jim in CT .. |
