Vistra (NYSE:VST) Shares Gap Down on Insider Selling

Key Points

• Vistra Corp. (NYSE:VST) shares fell 4.0% to open at $210.11 after significant insider selling by CEO James A. Burke, who sold nearly 64,000 shares over several transactions.
• Despite the drop, several analysts have given Vistra positive ratings, with price targets raised to between $230.00 and $256.00 by various firms.
• The company recently declared an increased quarterly dividend of $0.226, set to be paid on September 30, reflecting a slight rise from the previous dividend of $0.23.

Vistra Corp. (NYSE:VST - Get Free Report) shares gapped down prior to trading on Tuesday following insider selling activity. The stock had previously closed at $217.92, but opened at $210.11. Vistra shares last traded at $208.44, with a volume of 1,214,135 shares changing hands.

Specifically, CEO James A. Burke sold 21,366 shares of the firm's stock in a transaction dated Thursday, September 18th. The stock was sold at an average price of $213.18, for a total transaction of $4,554,803.88. Following the sale, the chief executive officer owned 230,602 shares of the company's stock, valued at $49,159,734.36. This trade represents a 8.48% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO James A. Burke sold 21,360 shares of the stock in a transaction that occurred on Friday, September 19th. The stock was sold at an average price of $211.50, for a total value of $4,517,640.00. Following the sale, the chief executive officer directly owned 233,242 shares of the company's stock, valued at approximately $49,330,683. The trade was a 8.39% decrease in their ownership of the stock. The disclosure for this sale can be found here. In other news, CEO James A. Burke sold 21,358 shares of the stock in a transaction on Tuesday, September 16th. The shares were sold at an average price of $213.78, for a total transaction of $4,565,913.24. Following the completion of the sale, the chief executive officer owned 225,329 shares of the company's stock, valued at $48,170,833.62. This represents a 8.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on VST shares. UBS Group boosted their price target on Vistra from $207.00 to $230.00 and gave the stock a "buy" rating in a research report on Friday, July 25th. Melius Research raised shares of Vistra to a "strong-buy" rating in a research note on Wednesday, August 20th. BMO Capital Markets upped their price target on shares of Vistra from $191.00 to $229.00 and gave the stock an "outperform" rating in a research report on Tuesday, August 12th. Scotiabank started coverage on shares of Vistra in a research note on Monday. They issued a "sector outperform" rating and a $256.00 price target for the company. Finally, Daiwa America upgraded shares of Vistra from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, September 17th. Three analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Vistra presently has a consensus rating of "Buy" and a consensus target price of $213.00.

Vistra Stock Down 4.0%

The stock has a market cap of $70.86 billion, a P/E ratio of 33.28, a P/E/G ratio of 3.30 and a beta of 1.34. The company has a quick ratio of 0.80, a current ratio of 0.90 and a debt-to-equity ratio of 6.58. The company has a 50-day simple moving average of $198.57 and a two-hundred day simple moving average of $165.60.

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

Vistra Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Friday, September 19th will be paid a $0.226 dividend. The ex-dividend date of this dividend is Friday, September 19th. This is a positive change from Vistra's previous quarterly dividend of $0.23. This represents a $0.90 dividend on an annualized basis and a yield of 0.4%. Vistra's payout ratio is 14.35%.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. State Street Corp increased its position in shares of Vistra by 1.4% during the second quarter. State Street Corp now owns 16,660,027 shares of the company's stock valued at $3,228,880,000 after buying an additional 226,514 shares during the period. Lone Pine Capital LLC boosted its holdings in shares of Vistra by 40.5% during the 2nd quarter. Lone Pine Capital LLC now owns 6,469,719 shares of the company's stock valued at $1,253,896,000 after buying an additional 1,864,931 shares in the last quarter. Massachusetts Financial Services Co. MA grew its position in shares of Vistra by 4.4% in the 2nd quarter. Massachusetts Financial Services Co. MA now owns 6,175,553 shares of the company's stock worth $1,196,884,000 after buying an additional 258,983 shares during the period. Norges Bank purchased a new position in Vistra during the 2nd quarter valued at about $930,080,000. Finally, Invesco Ltd. grew its holdings in Vistra by 25.2% in the second quarter. Invesco Ltd. now owns 4,537,384 shares of the company's stock worth $879,390,000 after purchasing an additional 913,350 shares during the period. 90.88% of the stock is owned by hedge funds and other 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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