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

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Ameren Corp.

FirstEnergy Corp.

The AES Corp.

Evergy, Inc.

Alliant Energy Corp.

PPL Corp.

Avangrid, Inc.

CMS Energy Corp.

Vistra Corp.

CenterPoint Energy, Inc.

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 67.80%, 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.

67.8%

2.03

55.08%

S&P 500

13.22%

0.65

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.16%

EBIT Growth (5y)

12.50%

EBIT to Interest (avg)

2.63

Debt to EBITDA (avg)

4.75

Net Debt to Equity (avg)

3.66

Sales to Capital Employed (avg)

2.06

Tax Ratio

21.52%

Dividend Payout Ratio

32.66%

Pledged Shares

Institutional Holding

100.00%

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

21.02

EV to EBIT

27.98

EV to EBITDA

18.07

EV to Capital Employed

5.30

EV to Sales

2.35

PEG Ratio

2.12

Dividend Yield

49.42%

ROCE (Latest)

18.94%

ROE (Latest)

72.84%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

No Trend

Bullish

OBV

No Trend

Mildly Bearish

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

8What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 2,289 MM

NET PROFIT(HY)

At USD 740.01 MM has Grown at 56.1%

DIVIDEND PER SHARE(HY)

Highest at USD 8.61

INVENTORY TURNOVER RATIO(HY)

Highest at 45.87 times

-18What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 481.82

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

RAW MATERIAL COST(Y)

Grown by 10.64% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 477.23 %

OPERATING PROFIT(Q)

Lowest at USD 689 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 10.24 %

PRE-TAX PROFIT(Q)

Lowest at USD 174 MM

NET PROFIT(Q)

Lowest at USD 223 MM

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

Operating Cash Flow

Highest at USD 2,289 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 8.61 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Inventory Turnover Ratio

Highest at 45.87 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

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

Pre-Tax Profit

At USD 174 MM has Fallen at -66.62%

over average net sales of the previous four periods of USD 521.25 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 223 MM has Fallen at -55.9%

over average net sales of the previous four periods of USD 505.68 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest Coverage Ratio

Lowest at 481.82

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at USD 689 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 10.24 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD 174 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD 223 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Debt-Equity Ratio

Highest at 477.23 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 10.64% (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