Melius Research Begins Coverage on NRG Energy (NYSE:NRG)

Key Points

• Melius Research has initiated coverage on NRG Energy with a 'buy' rating and a price target of $308.00, suggesting a potential upside of 111.04% from its previous close.
• NRG Energy reported quarterly earnings with $1.68 EPS, falling short of estimates, while revenue increased by 1.2% year-over-year to $6.74 billion.
• Overall, NRG Energy has received an average rating of "Moderate Buy" from analysts, with a consensus price target of $186.92.

Research analysts at Melius Research began coverage on shares of NRG Energy (NYSE:NRG - Get Free Report) in a research note issued on Wednesday,Benzinga reports. The firm set a "buy" rating and a $308.00 price target on the utilities provider's stock. Melius Research's price target would indicate a potential upside of 111.04% from the company's previous close.

A number of other research analysts have also recently commented on the company. Jefferies Financial Group raised their price target on NRG Energy from $113.00 to $132.00 and gave the stock a "buy" rating in a research report on Monday, May 5th. Wells Fargo & Company raised their price objective on NRG Energy from $165.00 to $200.00 and gave the company an "overweight" rating in a research note on Tuesday, May 13th. Citigroup lifted their price target on NRG Energy from $133.00 to $185.00 and gave the company a "buy" rating in a research note on Thursday, July 17th. Barclays lifted their price target on NRG Energy from $197.00 to $203.00 and gave the company an "overweight" rating in a research note on Thursday, August 7th. Finally, Raymond James Financial initiated coverage on NRG Energy in a research note on Friday, June 13th. They set a "strong-buy" rating and a $195.00 price target on the stock. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, NRG Energy has an average rating of "Moderate Buy" and an average target price of $186.92.

NRG Energy Stock Performance

Shares of NRG traded down $2.4350 during midday trading on Wednesday, reaching $145.9450. 628,633 shares of the stock were exchanged, compared to its average volume of 3,209,720. NRG Energy has a twelve month low of $76.13 and a twelve month high of $175.96. The company has a quick ratio of 0.88, a current ratio of 0.93 and a debt-to-equity ratio of 5.99. The company has a market cap of $28.23 billion, a P/E ratio of 66.02, a PEG ratio of 1.23 and a beta of 1.14. The stock's 50 day simple moving average is $155.19 and its 200 day simple moving average is $128.39.

NRG Energy (NYSE:NRG - Get Free Report) last issued its quarterly earnings results 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 return on equity of 88.22% and a net margin of 1.78%.The company had revenue of $6.74 billion during the quarter, compared to the consensus estimate of $6.63 billion. During the same quarter in the previous year, the business posted $3.37 EPS. The firm's revenue for the quarter was up 1.2% on a year-over-year basis. On average, sell-side analysts expect that NRG Energy will post 6.36 earnings per share for the current year.

Insider Activity at NRG Energy

In related news, Director Kevin Howell sold 50,000 shares of the company's stock in a transaction on Friday, May 30th. The stock was sold at an average price of $154.50, for a total transaction of $7,725,000.00. Following the completion of the sale, the director owned 55,427 shares in the company, valued at approximately $8,563,471.50. This represents a 47.43% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. 0.61% of the stock is currently owned by corporate insiders.

Institutional Trading of NRG Energy

Several institutional investors and hedge funds have recently modified their holdings of NRG. GW&K Investment Management LLC grew its position in shares of NRG Energy by 23.8% in the 1st quarter. GW&K Investment Management LLC now owns 672 shares of the utilities provider's stock worth $64,000 after buying an additional 129 shares during the last quarter. Envestnet Asset Management Inc. lifted its stake in shares of NRG Energy by 99.2% in the 1st quarter. Envestnet Asset Management Inc. now owns 413,911 shares of the utilities provider's stock valued at $39,512,000 after purchasing an additional 206,096 shares during the period. Exchange Traded Concepts LLC lifted its stake in shares of NRG Energy by 54.4% in the 1st quarter. Exchange Traded Concepts LLC now owns 6,215 shares of the utilities provider's stock valued at $593,000 after purchasing an additional 2,190 shares during the period. State of Alaska Department of Revenue lifted its stake in shares of NRG Energy by 2.7% in the 1st quarter. State of Alaska Department of Revenue now owns 23,728 shares of the utilities provider's stock valued at $2,265,000 after purchasing an additional 630 shares during the period. Finally, Graham Capital Management L.P. purchased a new position in shares of NRG Energy in the 4th quarter valued at approximately $276,000. Hedge funds and other institutional investors own 97.72% of the company's stock.

NRG Energy Company Profile

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.

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