NRG Energy, Inc. (NRG) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

The AES Corp.

PPL Corp.

Ameren Corp.

CMS Energy Corp.

Alliant Energy Corp.

Avangrid, Inc.

CenterPoint Energy, Inc.

Evergy, Inc.

FirstEnergy Corp.

Vistra Corp.

NRG Energy, Inc.

Why is NRG Energy, Inc. ?

Negative results in Jun 25

INTEREST COVERAGE RATIO(Q) Lowest at 481.82
DIVIDEND PAYOUT RATIO(Y) Lowest at 0%
RAW MATERIAL COST(Y) Grown by 10.64% (YoY)

With ROCE of 18.94%, it has a very expensive valuation with a 5.30 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 78.72%, its profits have fallen by -0.3% ; the PEG ratio of the company is 2.1

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is NRG Energy, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

NRG Energy, Inc.

-9.46%

2.06

55.01%

S&P 500

22.24%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

27.98%

EBIT Growth (5y)

4.02%

EBIT to Interest (avg)

2.63

Debt to EBITDA (avg)

4.75

Net Debt to Equity (avg)

3.66

Sales to Capital Employed (avg)

2.04

Tax Ratio

21.52%

Dividend Payout Ratio

43.95%

Pledged Shares

Institutional Holding

95.70%

ROCE (avg)

11.13%

ROE (avg)

43.14%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

34.54

EV to EBIT

47.47

EV to EBITDA

24.02

EV to Capital Employed

5.21

EV to Sales

2.27

PEG Ratio

Dividend Yield

0.78%

ROCE (Latest)

10.97%

ROE (Latest)

46.51%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

INVENTORY TURNOVER RATIO(HY)

Highest at 55.53 times

DIVIDEND PER SHARE(HY)

Highest at USD 8.88

DIVIDEND PAYOUT RATIO(Y)

Highest at 91.49%

CASH AND EQV(HY)

Highest at USD 4,973 MM

NET SALES(Q)

Highest at USD 10,303 MM

-29What is not working for the Company

PRE-TAX PROFIT(Q)

At USD 8 MM has Fallen at -96.11%

NET PROFIT(Q)

At USD 50 MM has Fallen at -74.42%

OPERATING CASH FLOW(Y)

Lowest at USD 889 MM

ROCE(HY)

Lowest at 6.25%

RAW MATERIAL COST(Y)

Grown by 51.44% (YoY

INTEREST(Q)

Highest at USD 291 MM

Here's what is working for NRG Energy, Inc.

Net Sales

At USD 10,303 MM has Grown at 34.36%

over average net sales of the previous four periods of USD 7,668.25 MM

MOJO Watch

Near term sales trend is very positive

Net Sales (USD MM)

Inventory Turnover Ratio

Highest at 55.53 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at USD 8.88 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales

Highest at USD 10,303 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Cash and Eqv

Highest at USD 4,973 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend Payout Ratio

Highest at 91.49%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at USD 439 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for NRG Energy, Inc.

Pre-Tax Profit

At USD 8 MM has Fallen at -96.11%

over average net sales of the previous four periods of USD 205.5 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 50 MM has Fallen at -74.42%

over average net sales of the previous four periods of USD 195.46 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest

At USD 291 MM has Grown at 18.29%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Cash Flow

Lowest at USD 889 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

Highest at USD 291 MM

in the last five periods and Increased by 18.29% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Raw Material Cost

Grown by 51.44% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales