NRG Energy, Inc. (NYSE:NRG) has been downgraded by Deutsche Bank on January 28 which now rates the stock as Hold compared with Buy rating suggested in the past. Analysts at Citigroup, shed their negative views on August 06 by lifting it fromNeutral to Buy. The stock lost favor of Citigroup analysts who expressed their lack of confidence in it using a downgrade from Buy to Neutral on July 30. UBS, released new analyst coverage on February 23, calling the stock is Buy.
NRG Energy, Inc. (NRG) hit an intraday high Tuesday at $42.915. The shares finished at $42.41, after trading as low as $42.15 earlier in the session. It rose 0.38% in recent trade and currently has a stock-market value of $12.22B. Trading activity significantly improved as the volume at ready counter increased to 4,096,170 shares versus 3,292,980 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 3,310,000 shares. The stock is now 75.25% above against its bear-market low of $24.2 on February 14, 2018. It has retreated -1.58% since it’s 52-week high of $43.08 reached in December. Now the market price is up 72.47% on the year and up 7.1% YTD.
NRG’s 50 day simple moving average (SMA 50) price is $40.2 and its 200-day simple moving average (SMA 200) price is $35.91. The company’s stock currently has a total float of 287.65M shares. Its weekly volatility is hovering around 1.79% and felt 1.99% volatility in price over a month. On the upside, the share price will test short term resistance at around $42.83. On a downside, the stock is likely to find some support, which begins at $42.07. The failure to get near-term support could push it to $41.73.
Separately, it has been reported that multiple insider activity took place at NRG Energy, Inc. (NRG). Senior VP, Business Solutions Gaudette Robert J sold 18,571 shares for $71,821 in transaction occurred on 2019/01/10. After making this transaction, the Senior VP, Business Solutions owns a direct stake of 732,069 shares, worth $3,045,929, as per the last closing price. On 2019/01/04 Moser Christopher, Exec Vice Pres, Operations at NRG, dumped 34,296 shares at an average price of $38.23 per share. The selling total is valued at $3,290,168.
EVP & President, NRG Retail, Killinger Elizabeth R had divested 35,000 shares for $130,027 through a trade on 2019/01/04. Following this activity, the insider holds 1,347,150 shares worth $5,514,445 as of recent close. Wall Street’s most bullish NRG Energy, Inc. (NYSE:NRG) analysts are predicting the share price to blow past $51 per share during the next 12 months. The current median share price forecast by them is $45, suggesting that the stock could increase 6.11% in that time frame. The average price target of $43.95 calls for a nearly 3.63% increase in the stock price.
When looking at valuations, NRG Energy, Inc. (NRG) has a cheap P/E of 13.7x as compared to industry average of 16.35x. Moreover, it trades for 10.62 times the next 12 months of expected earnings. Compared to others, NRG Energy, Inc. is in a different league with regards to profitability, having net margins of 5.4%. To put some perspective around this, the industry’s average net margin is 20.41%. NRG’s ROE is -125.5%, which is also considerably worse than the industry’s ROE of 10.13%. It’s also very liquid in the near term, with a current ratio of 1.6. The stock has a debt/capital of 0.
Shares of NRG Energy, Inc. (NRG) have gained 10% since the company’s last earnings report. Over the past 12 fiscal quarters, NRG Energy, Inc. (NYSE:NRG) has topped consensus earnings estimates in 7 quarters (58%), missed earnings in 5 quarters (41%), whereas at 0 occasion EPS met analyst expectations. NRG last reported earnings on November 08, 2018 when it released Sep-18 results that receded expectations. The company raked in $0.96 per share, -96.38% change on the same period last year. That was worse than consensus for $1.31. Revenue for the recent quarter stood at $3.06 billion, down 0% on last year and below the $3.18 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $1.77 billion to $2.58 billion, which should be compared with $2.95 billion generated last year. EPS is seen in a range of $0.66 to $1.47, against the -$0.2 reported a year ago.