Plug Power (NASDAQ: PLUG) saw its stock price plummet 5.29% in after-hours trading on Thursday, as investors reacted to a series of concerning developments surrounding the company's financial situation and valuation. The sharp decline comes amid growing uncertainty about the clean energy firm's future and its ability to raise much-needed capital.

One of the key factors contributing to the sell-off was Plug Power's announcement of a special stockholders meeting scheduled for January 15, 2026. The meeting aims to approve two critical charter amendments that will directly impact the company's ability to raise capital and meet its strategic goals. This move has sparked speculation about the urgency of Plug Power's financial needs and has likely contributed to investor unease.

Adding to the pressure on Plug Power's stock is a recent analysis highlighting the company's valuation concerns. The report suggests that while a discounted cash flow model indicates the stock might be undervalued, its price-to-sales ratio of 3.86x is significantly higher than the calculated fair ratio of 0.15x, implying potential overvaluation. This conflicting valuation picture, combined with the company's recent history of steep price drops – including a 30.4% decline over the past week and a 44.1% fall in the last month – has further eroded investor confidence. As Plug Power grapples with these challenges, market participants will be closely watching for any signs of improvement in the company's financial health and strategic direction.