Roth Capital analyst Craig Irwin downgrades shares of Plug Power Inc (NASDAQ:PLUG) from Neutral to Sell, while slashing the price target to $1.30 (from $2.25), which represents a potential downside of 28% from where the stock is currently trading. The reduced rating and target come after the hydrogen fuel cell maker reported weak first-quarter results, with revenue and EPS at $15.2 million and $0.13, well below Irwin’s estimates of $13.4 million and $0.06, respectively.

Irwin commented, “Material points in the 10-Q, shareholder letter, and company call are that anchor customer Wal-Mart will dramatically reduce purchases in 2017, and the $70m Amazon revenue expected in 2017 is not additive to guidance. Other customers are likely also halting purchases due to ITC and free warrants given to Amazon. We are downgrading PLUG to Sell on obvious customer attrition and poor quality of revenue, earnings, and gross margins going forward.”

“We are cutting our target price to $1.30 (from $2.25), using a 2.0x multiple on our 2017 revenue estimate. We see the 2.0x P/Sales multiple as fair given significant longer-term growth potential,” the analyst added.

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Craig Irwin has a yearly average return of 0.7% and a 46% success rate. Irwin is ranked #2388 out of 4566 analysts.

Out of the 4 analysts polled by TipRanks (in the past 3 months), 3 rate Plug Power stock a Buy, while 1 rates the stock a Sell. With a return potential of nearly 84%, the stock’s consensus target price stands at $3.33.