Has NRG Energy, Inc. (NRG) Attracted A Large And Growing Investors’ Interest?

Analysts are forecasting revenue to suffer decline of -26.7 percent to $1.83B in the next fiscal quarter, while earnings are seen soaring by nearly -56 percent to $0.11 per share. History has shown that shares in NRG Energy, Inc. have gone down on 22 different earnings reaction days and are predicted to add 0.03 percent when the company reports upcoming earnings. In last reported earnings results, it earned $0.96 per share, worse than the $1.31, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $3.06B, worse than the $3.18B analysts expected. Earnings are estimated to increase by 167.4 percent this year, 45.86 percent next year and continue to increase by 77.23 percent annually for the next 5 years.

NRG Energy, Inc. (NRG) will probably climb 10 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $51price as 12-month high target. This represents a whopping 26.21 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $43.5, which represents a return potential of 7.65 percent when compared to the closing price of the stock of $40.41 on Thursday, January 10. The lowest price target for the stock is $27 — slightly more than -33.18 percent from NRG’s current share price.

The stock is currently hovering around the first support level of $39.66. Below this, the next support is placed in the zone of $38.91. Till the time, the NRG stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 56.75 on daily chart, which may remain a cause for concern. If the price breaks below $38.91 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $40.81 mark may result into a pull-back move towards $41.22 level.

On 10th of January, NRG Energy, Inc. (NYSE:NRG) shares ended higher after a volatile session. The shares accumulated 0.86 points or 2.17 percent at $40.41 with a light trade volume of 3.372 million shares. After opening the session at $39.42, the shares went as high as $40.465 and as low as $39.31, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $12.1 billion and now has 299 million shares outstanding. NRG Energy, Inc. (NRG) stock has lost -0.44 percent of market value in 21 trading days.

NRG stock has a trailing 3-year beta of 0.85, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $3.1 a share in the trailing twelve months. The stock’s value has surged 2.05 percent year to date (YTD) against a rise of 40.7 percent in 12 month’s time. The company’s shares still trade -6.19 percent away from its 1-year high of $43.08 and 70.15 percent up from 52-week low of $23.75. The average consensus rating on the company is 1.7, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a buy.

Shares of NRG Energy, Inc. (NRG) are trading at a P/E ratio of 12.42 times earnings reported for the past 12 months. The industry NRG operates in has an average P/E of 16.94. Its P/E ratio went as low as 16.84X and as high as 117.13 over the 5-year span. Further, it is sporting a 1.17 on the Price-to-Sales ratio. Compare this with the industry average P/S of 3.09. 28 percent is the gross profit margin for NRG Energy, Inc. and operating margin sits at 13.2 percent. Along with this, the net profit margin is 5.4 percent.

Let’s take a look at some insider activity at NRG Energy, Inc. (NYSE:NRG) and see the pattern. The earliest insider trade took place on 01/04/2019. Moser Christopher parted with a total of 34.3 thousand shares of company at average share price of $38.23. The total for the sales was set at $1.31 million. After this transaction, the Exec Vice Pres, Operations account balance stood at 77.58 thousand shares. The stock grew 3.45 percent since that insider sale. On 01/04/2019, Killinger Elizabeth R, EVP & President, NRG Retail, sold 35 thousand shares at a price per share of $38.49. This removed 1.35 million shares from the insider’s fortune and the stock saw a 2.75 percent rally in value since the news became public. This transaction left 130.03 thousand shares in the EVP & President, NRG Retail account.

On 09/13/2018, EVP & President, NRG Retail Killinger Elizabeth R performed a sale transaction worth $881.66 thousand. This sale at $35.84 each has eliminated 24.6 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded 10.35 percent increase since the transaction was reported. The insider now is left with 105.73 thousand shares remaining in the account. Moser Christopher, who performs the Exec Vice Pres, Operations job, sold 43.98 thousand shares for $1.54 million. The disposal occurred on 09/10/2018 was priced at $35.11 per share. The share price soared 12.65 percent since the reporting date. Moser Christopher now left with a stake of 61.08 thousand NRG stock worth $2.47 million after the insider selling.