Over the past decade, plant biostimulants have been increasingly used in agriculture as environment-friendly tools that improve the sustainability and resilience of crop production systems under environmental stresses. Protein hydrolysates (PHs) are a main category of biostimulants produced by chemical or enzymatic hydrolysis of proteins from animal or plant sources. Mostly composed of amino acids and peptides, PHs have a beneficial effect on multiple physiological processes, including photosynthetic activity, nutrient assimilation and translocation, and also quality parameters. They also seem to have hormone-like activities. Moreover, PHs enhance tolerance to abiotic stresses, notably through the stimulation of protective processes such as cell antioxidant activity and osmotic adjustment. Knowledge on their mode of action, however, is still piecemeal. The aims of this review are as follows: (i) Giving a comprehensive overview of current findings about the hypothetical mechanisms of action of PHs; (ii) Emphasizing the knowledge gaps that deserve to be urgently addressed with a view to efficiently improve the benefits of biostimulants for different plant crops in the context of climate change.