NYSE:VST: good value for what you're paying.

Last update: Nov 27, 2023

Take a closer look at VISTRA CORP (NYSE:VST), a remarkable value stock uncovered by our stock screener. NYSE:VST excels in fundamentals and maintains a very reasonable valuation. Let's break it down further.

Valuation Analysis for NYSE:VST

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NYSE:VST has earned a 9 for valuation:

The Price/Earnings ratio is 10.25, which indicates a very decent valuation of VST.
Based on the Price/Earnings ratio, VST is valued cheaper than 95.24% of the companies in the same industry.
VST's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.55.
VST is valuated reasonably with a Price/Forward Earnings ratio of 9.13.
Based on the Price/Forward Earnings ratio, VST is valued cheaper than 95.24% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 19.64, VST is valued rather cheaply.
95.24% of the companies in the same industry are more expensive than VST, based on the Enterprise Value to EBITDA ratio.
85.71% of the companies in the same industry are more expensive than VST, based on the Price/Free Cash Flow ratio.
VST's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
VST's earnings are expected to grow with 50.24% in the coming years. This may justify a more expensive valuation.

Profitability Insights: NYSE:VST

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:VST was assigned a score of 5 for profitability:

VST has a Return On Assets of 4.01%. This is amongst the best in the industry. VST outperforms 90.48% of its industry peers.
VST's Return On Equity of 23.27% is amongst the best of the industry. VST outperforms 100.00% of its industry peers.
VST's Return On Invested Capital of 8.77% is amongst the best of the industry. VST outperforms 100.00% of its industry peers.
With a decent Profit Margin value of 8.23%, VST is doing good in the industry, outperforming 61.90% of the companies in the same industry.
VST has a better Gross Margin (88.16%) than 90.48% of its industry peers.

Deciphering NYSE:VST's Health Rating

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:VST scores a 5 out of 10:

Looking at the Altman-Z score, with a value of 1.02, VST is in the better half of the industry, outperforming 76.19% of the companies in the same industry.
VST has a better Debt to FCF ratio (6.71) than 95.24% of its industry peers.

Growth Assessment of NYSE:VST

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:VST boasts a 5 out of 10:

VST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 446.94%, which is quite impressive.
The Revenue has grown by 18.19% in the past year. This is quite good.
Measured over the past years, VST shows a very strong growth in Revenue. The Revenue has been growing by 20.38% on average per year.
Based on estimates for the next years, VST will show a very strong growth in Earnings Per Share. The EPS will grow by 31.16% on average per year.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

Check the latest full fundamental report of VST for a complete fundamental analysis.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.