Vistra (NYSE:VST) Shares Down 4.2% - Should You Sell?

Key Points

• Vistra Corp. (NYSE:VST) shares fell 4.2% to $201.53 and traded at significantly lower volumes, with 3.96 million shares changing hands, down 40% from the average.
• Despite recent stock price declines, several analyst upgrades have been issued, with Morgan Stanley raising their target from $207.00 to $223.00 and Melius Research upgrading to a "strong-buy" rating.
• Vistra recently declared a quarterly dividend of $0.226 per share, reflecting a slight increase from the previous amount and a 0.4% dividend yield.

Vistra Corp. (NYSE:VST - Get Free Report)'s share price traded down 4.2% during mid-day trading on Friday . The stock traded as low as $200.05 and last traded at $201.53. 3,965,007 shares traded hands during mid-day trading, a decline of 40% from the average session volume of 6,577,197 shares. The stock had previously closed at $210.40.

Analyst Ratings Changes

Several brokerages recently commented on VST. Morgan Stanley upped their target price on Vistra from $207.00 to $223.00 and gave the company an "overweight" rating in a report on Thursday, September 25th. Melius Research upgraded Vistra to a "strong-buy" rating in a report on Wednesday, August 20th. Jefferies Financial Group reiterated a "hold" rating and issued a $230.00 target price (down from $241.00) on shares of Vistra in a report on Monday, September 22nd. Weiss Ratings reiterated a "buy (b)" rating on shares of Vistra in a report on Wednesday, October 8th. Finally, Scotiabank began coverage on Vistra in a report on Monday, September 22nd. They issued a "sector outperform" rating and a $256.00 target price on the stock. Four equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have issued a Hold rating to the company's stock. According to data from MarketBeat.com, Vistra presently has a consensus rating of "Buy" and a consensus target price of $229.31.

Vistra Price Performance

The stock has a market capitalization of $68.28 billion, a P/E ratio of 32.14, a PEG ratio of 2.99 and a beta of 1.33. The business has a fifty day simple moving average of $200.60 and a 200-day simple moving average of $174.96. The company has a debt-to-equity ratio of 6.58, a quick ratio of 0.80 and a current ratio of 0.90.

Vistra (NYSE:VST - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported $1.01 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.63 by ($0.62). The business had revenue of $4.25 billion for the quarter, compared to the consensus estimate of $5.15 billion. Vistra had a return on equity of 108.41% and a net margin of 12.90%. Sell-side analysts expect that Vistra Corp. will post 7 earnings per share for the current fiscal year.

Vistra Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 30th. Shareholders of record on Friday, September 19th were issued a dividend of $0.226 per share. This represents a $0.90 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date was Friday, September 19th. This is a positive change from Vistra's previous quarterly dividend of $0.23. Vistra's dividend payout ratio (DPR) is currently 14.35%.

Insider Activity

In related news, CEO James A. Burke sold 43,074 shares of the stock in a transaction on Thursday, September 11th. The stock was sold at an average price of $208.75, for a total value of $8,991,697.50. Following the transaction, the chief executive officer directly owned 217,025 shares in the company, valued at $45,303,968.75. This trade represents a 16.56% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. In the last quarter, insiders sold 547,510 shares of company stock valued at $112,585,800. 1.42% of the stock is owned by company insiders.

Hedge Funds Weigh In On Vistra

Large investors have recently modified their holdings of the company. Twin Peaks Wealth Advisors LLC bought a new position in shares of Vistra in the 2nd quarter worth $28,000. Anfield Capital Management LLC purchased a new stake in Vistra in the 2nd quarter valued at $29,000. City State Bank raised its position in Vistra by 210.0% in the 2nd quarter. City State Bank now owns 155 shares of the company's stock valued at $30,000 after buying an additional 105 shares during the last quarter. Laurel Wealth Advisors LLC raised its position in Vistra by 19,300.0% in the 2nd quarter. Laurel Wealth Advisors LLC now owns 194 shares of the company's stock valued at $38,000 after buying an additional 193 shares during the last quarter. Finally, Hilltop National Bank raised its position in Vistra by 223.3% in the 3rd quarter. Hilltop National Bank now owns 194 shares of the company's stock valued at $38,000 after buying an additional 134 shares during the last quarter. 90.88% of the stock is currently owned by institutional investors.

About Vistra

Vistra Corp., together with its subsidiaries, operates as an integrated retail electricity and power generation company. The company operates through six segments: Retail, Texas, East, West, Sunset, and Asset Closure. It retails electricity and natural gas to residential, commercial, and industrial customers across states in the United States and the District of Columbia.

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