FuelCell Energy expands stock incentive plan after shareholder nod

Published 04/21/2025, 04:08 PM
FuelCell Energy expands stock incentive plan after shareholder nod

FuelCell Energy Inc. (NASDAQ:FCEL), a leader in the electrical industrial apparatus sector currently trading near its 52-week low at $3.87, has received shareholder approval to expand its stock incentive plan, according to a recent SEC filing. According to InvestingPro data, the company’s stock has seen significant volatility, with its market capitalization now at $81.43 million. At the Annual Meeting held on Sunday and concluded on April 17, 2025, stockholders sanctioned the amendment and restatement of the company’s 2018 Omnibus Incentive Plan, now known as the Fifth Amended and Restated Incentive Plan.

The approved changes allow the Connecticut-based manufacturer to issue an additional 750,000 shares of common stock under the revised plan, raising the total to 2,194,444 shares. The plan enables the company to grant various stock-based awards, including stock options and restricted stock units, to its employees, officers, directors, and consultants.

In the same meeting, shareholders re-elected eight directors to serve until the 2026 Annual Meeting and ratified the appointment of KPMG LLP as the firm’s independent auditor for the fiscal year ending October 31, 2025. Additionally, the compensation of FuelCell Energy’s named executive officers, as detailed in the proxy statement’s "Executive Compensation" section, received advisory approval.

The expansion of the stock incentive plan aligns with FuelCell Energy’s strategy to attract and retain talent through competitive compensation packages. The company maintains a strong liquidity position with a current ratio of 6.34 and holds more cash than debt on its balance sheet. The company’s filing also included the full text of the Fifth Amended and Restated Incentive Plan as Exhibit 10.1, which details the terms and conditions of the equity awards.

This move comes as part of the company’s broader initiatives to drive growth and innovation within the clean energy sector. FuelCell Energy is known for its development of fuel cell technology, which offers a cleaner alternative to traditional energy sources. While the company has achieved revenue growth of 11.09% in the last twelve months, InvestingPro analysis suggests the stock is currently undervalued, with 18 additional key insights available to subscribers through the comprehensive Pro Research Report, part of the platform’s coverage of 1,400+ US equities.

The information in this article is based on FuelCell Energy’s SEC filing and is intended to provide shareholders and potential investors with the latest corporate governance developments.

In other recent news, FuelCell Energy reported its first-quarter earnings for fiscal year 2025, which aligned with expectations, except for the timing of product revenue. The company also announced a strategic partnership to supply up to 360 megawatts of power modules to datacenter clients, with revenue from this agreement expected in fiscal year 2026. KeyBanc Capital Markets maintained its Sector Weight rating on FuelCell Energy, citing effective expense management and increasing product orders as potential factors for future profitability improvements. Additionally, FuelCell Energy has embarked on a significant testing phase at the Idaho National Laboratory for its solid oxide electrolysis cell system, aiming to achieve 100% electrical efficiency in hydrogen production using nuclear energy. This project, funded by a U.S. Department of Energy award, explores the integration of nuclear plants with hydrogen generation to enhance economic viability. Furthermore, FuelCell Energy secured a $160 million contract to build a 7.4 MW fuel cell power plant in Hartford, Connecticut, to support the local grid under a 20-year power purchase agreement. This project is part of Connecticut’s initiative to modernize energy infrastructure and improve grid stability. These developments highlight FuelCell Energy’s ongoing efforts in strategic partnerships, clean energy innovation, and infrastructure investments.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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