Appaloosa LP Grows Stock Position in NRG Energy, Inc. $NRG

Key Points

• Appaloosa LP increased its stake in NRG Energy, Inc. by 12.9% during the 1st quarter, now holding 2,050,000 shares worth approximately $195.7 million.
• NRG's latest earnings report showed an EPS of $1.68, missing estimates by $0.04, but revenue grew by 1.2% year-over-year to $6.74 billion.
• The company declared a quarterly dividend of $0.44 per share, with a yield of 1.2% and a payout ratio of 79.64%.

Appaloosa LP raised its position in shares of NRG Energy, Inc. (NYSE:NRG - Free Report) by 12.9% in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 2,050,000 shares of the utilities provider's stock after buying an additional 235,000 shares during the period. NRG Energy comprises about 2.3% of Appaloosa LP's investment portfolio, making the stock its 10th biggest holding. Appaloosa LP owned approximately 1.01% of NRG Energy worth $195,693,000 at the end of the most recent reporting period.

Other hedge funds have also added to or reduced their stakes in the company. Goldman Sachs Group Inc. grew its stake in NRG Energy by 468.4% in the first quarter. Goldman Sachs Group Inc. now owns 4,757,735 shares of the utilities provider's stock worth $454,173,000 after purchasing an additional 6,049,247 shares during the period. Boston Partners grew its position in shares of NRG Energy by 169.5% in the 1st quarter. Boston Partners now owns 2,817,018 shares of the utilities provider's stock worth $269,230,000 after buying an additional 1,771,829 shares during the period. Caisse DE Depot ET Placement DU Quebec grew its position in shares of NRG Energy by 33.6% in the 1st quarter. Caisse DE Depot ET Placement DU Quebec now owns 1,481,120 shares of the utilities provider's stock worth $141,388,000 after buying an additional 372,618 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of NRG Energy by 17.5% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,223,591 shares of the utilities provider's stock worth $110,392,000 after buying an additional 182,438 shares during the period. Finally, Deutsche Bank AG grew its position in shares of NRG Energy by 7.3% in the 1st quarter. Deutsche Bank AG now owns 1,050,924 shares of the utilities provider's stock worth $100,321,000 after buying an additional 71,337 shares during the period. 97.72% of the stock is owned by hedge funds and other institutional investors.

NRG Energy Stock Performance

Shares of NRG Energy stock traded down $0.49 during trading on Friday, hitting $147.46. 1,672,696 shares of the company's stock traded hands, compared to its average volume of 2,025,767. The stock has a market capitalization of $28.52 billion, a P/E ratio of 66.73, a PEG ratio of 1.20 and a beta of 1.17. The company has a debt-to-equity ratio of 5.99, a current ratio of 0.93 and a quick ratio of 0.88. NRG Energy, Inc. has a 1 year low of $76.13 and a 1 year high of $175.96. The business has a 50-day simple moving average of $153.33 and a 200-day simple moving average of $132.09.

NRG Energy (NYSE:NRG - Get Free Report) last posted its quarterly earnings data on Wednesday, August 6th. The utilities provider reported $1.68 EPS for the quarter, missing analysts' consensus estimates of $1.72 by ($0.04). NRG Energy had a net margin of 1.78% and a return on equity of 88.22%. The firm had revenue of $6.74 billion for the quarter, compared to analysts' expectations of $6.63 billion. During the same quarter last year, the company posted $3.37 EPS. The firm's revenue was up 1.2% compared to the same quarter last year. As a group, analysts forecast that NRG Energy, Inc. will post 6.36 EPS for the current year.

NRG Energy Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, August 15th. Shareholders of record on Friday, August 1st were paid a $0.44 dividend. This represents a $1.76 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date was Friday, August 1st. NRG Energy's dividend payout ratio is presently 79.64%.

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on NRG shares. Barclays upped their target price on shares of NRG Energy from $197.00 to $203.00 and gave the stock an "overweight" rating in a research report on Thursday, August 7th. Raymond James Financial initiated coverage on NRG Energy in a research report on Friday, June 13th. They issued a "strong-buy" rating and a $195.00 price target for the company. Melius Research initiated coverage on NRG Energy in a research report on Wednesday, August 20th. They issued a "buy" rating and a $308.00 price target for the company. Melius initiated coverage on NRG Energy in a research report on Wednesday, August 20th. They issued a "buy" rating and a $308.00 price target for the company. Finally, Citigroup lifted their price target on NRG Energy from $133.00 to $185.00 and gave the stock a "buy" rating in a research report on Thursday, July 17th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, NRG Energy presently has an average rating of "Moderate Buy" and an average target price of $186.92.

About NRG Energy

NRG Energy, Inc, together with its subsidiaries, operates as an energy and home services company in the United States and Canada. It operates through Texas; East; West/Services/Other; Vivint Smart Home; and Corporate Activities segments. The company produces and sells electricity generated using coal, oil, solar, and battery storage; natural gas; and a cloud-based home platform, including hardware, software, sales, installation, customer service, technical support, and professional monitoring solutions.