NRG Energy (NYSE:NRG) Hits New 52-Week Low After Analyst Downgrade

Shares of NRG Energy, Inc. (NYSE:NRG) reached a new 52-week low during mid-day trading on Monday after Zacks Research downgraded the stock from a hold rating to a strong sell rating. The company traded as low as $96.86 and last traded at $97.19, with a volume of 2822963 shares traded. The stock had previously closed at $100.37.

Several other equities research analysts also recently commented on the company. BNP Paribas Exane set a $221.00 price objective on NRG Energy in a report on Wednesday, August 19th. UBS Group decreased their target price on shares of NRG Energy from $221.00 to $216.00 and set a “buy” rating for the company in a research report on Tuesday, July 28th. Wells Fargo & Company boosted their price objective on NRG Energy from $203.00 to $209.00 and gave the stock an “overweight” rating in a report on Thursday, July 16th. Evercore reiterated an “outperform” rating and set a $195.00 price target on shares of NRG Energy in a report on Wednesday, August 5th. Finally, Scotiabank reduced their target price on shares of NRG Energy from $226.00 to $211.00 and set a “sector outperform” rating for the company in a research note on Wednesday, August 5th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $198.21.

Insider Activity

In related news, CAO Gerald Alfred Spencer sold 1,580 shares of NRG Energy stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $120.93, for a total value of $191,069.40. Following the completion of the transaction, the chief accounting officer directly owned 6,213 shares in the company, valued at approximately $751,338.09. The trade was a 20.27% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.43% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On NRG Energy

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Victory Capital Management Inc. grew its stake in NRG Energy by 178.1% in the 4th quarter. Victory Capital Management Inc. now owns 7,676,513 shares of the utilities provider’s stock worth $1,222,409,000 after buying an additional 4,916,653 shares in the last quarter. Bank of New York Mellon Corp purchased a new position in NRG Energy in the second quarter worth $473,391,000. Capital World Investors bought a new position in NRG Energy in the fourth quarter valued at $305,817,000. Assenagon Asset Management S.A. raised its position in NRG Energy by 96.3% during the second quarter. Assenagon Asset Management S.A. now owns 967,264 shares of the utilities provider’s stock valued at $141,279,000 after purchasing an additional 474,474 shares in the last quarter. Finally, SG Americas Securities LLC boosted its holdings in shares of NRG Energy by 1,247.6% in the 1st quarter. SG Americas Securities LLC now owns 502,436 shares of the utilities provider’s stock worth $73,426,000 after purchasing an additional 465,152 shares in the last quarter. 97.72% of the stock is currently owned by hedge funds and other institutional investors.

NRG Energy Trading Up 0.0%

The company has a market capitalization of $20.48 billion, a PE ratio of 25.67 and a beta of 1.18. The stock has a fifty day moving average of $116.49 and a two-hundred day moving average of $134.06. The company has a current ratio of 0.97, a quick ratio of 0.89 and a debt-to-equity ratio of 5.17.

NRG Energy (NYSE:NRG) last posted its quarterly earnings results on Tuesday, August 4th. The utilities provider reported $1.49 EPS for the quarter, missing the consensus estimate of $1.69 by ($0.20). The business had revenue of $7.48 billion for the quarter, compared to analysts’ expectations of $7.31 billion. NRG Energy had a return on equity of 52.95% and a net margin of 2.56%.The company’s revenue was up 11.0% compared to the same quarter last year. During the same period last year, the business posted $1.73 earnings per share. NRG Energy has set its FY 2026 guidance at 7.900-9.900 EPS. As a group, sell-side analysts anticipate that NRG Energy, Inc. will post 8.61 earnings per share for the current fiscal year.

NRG Energy Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, August 17th. Stockholders of record on Monday, August 3rd were paid a dividend of $0.4750 per share. This represents a $1.90 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date of this dividend was Monday, August 3rd. NRG Energy’s dividend payout ratio (DPR) is 50.26%.

About NRG Energy

NRG Energy, Inc (NYSE:NRG) is an integrated power and home services company headquartered in Houston, Texas. The company produces and sells electricity and natural gas and provides energy-related products and services to residential, commercial, industrial and institutional customers.

NRG operates power generation assets that use a range of fuel sources, including natural gas, coal, nuclear power and renewable energy. It also develops and supports technologies such as battery storage and offers electricity, natural gas, renewable energy and energy-management services through retail brands including Reliant, Direct Energy, Green Mountain Energy and other regional providers.

In addition to its energy business, NRG provides smart-home, security, automation and related services through its Vivint operations.