NRG ENERGY INC (NRG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NRG - US6293775085 - Common Stock
152.05 USD
-6.45 (-4.07%)
151.17 USD
-0.88 (-0.58%)
Overall NRG gets a fundamental rating of 5 out of 10. We evaluated NRG against 46 industry peers in the Electric Utilities industry. NRG has only an average score on both its financial health and profitability. NRG has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- NRG had positive earnings in the past year.
- NRG had a positive operating cash flow in the past year.
- NRG had positive earnings in 4 of the past 5 years.
- NRG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 5.73%, NRG belongs to the best of the industry, outperforming 86.96% of the companies in the same industry.
- NRG has a better Return On Equity (69.75%) than 100.00% of its industry peers.
- NRG has a better Return On Invested Capital (11.56%) than 100.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for NRG is significantly above the industry average of 4.58%.
- The last Return On Invested Capital (11.56%) for NRG is above the 3 year average (10.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.73% | ||
| ROE | 69.75% | ||
| ROIC | 11.56% |
ROA(3y)2.54%
ROA(5y)4.09%
ROE(3y)21.93%
ROE(5y)31.38%
ROIC(3y)10.16%
ROIC(5y)11.32%
1.3 Margins
- The Profit Margin of NRG (4.61%) is worse than 84.78% of its industry peers.
- In the last couple of years the Profit Margin of NRG has declined.
- NRG's Operating Margin of 8.13% is on the low side compared to the rest of the industry. NRG is outperformed by 86.96% of its industry peers.
- In the last couple of years the Operating Margin of NRG has declined.
- NRG's Gross Margin of 21.15% is on the low side compared to the rest of the industry. NRG is outperformed by 69.57% of its industry peers.
- In the last couple of years the Gross Margin of NRG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.13% | ||
| PM (TTM) | 4.61% | ||
| GM | 21.15% |
OM growth 3Y-18.92%
OM growth 5Y-11.2%
PM growth 3Y-22.57%
PM growth 5Y-39.18%
GM growth 3Y-4.97%
GM growth 5Y-4.2%
2. Health
2.1 Basic Checks
- NRG has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for NRG has been reduced compared to 1 year ago.
- NRG has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for NRG is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.54 indicates that NRG is not a great score, but indicates only limited risk for bankruptcy at the moment.
- NRG has a better Altman-Z score (2.54) than 95.65% of its industry peers.
- NRG has a debt to FCF ratio of 6.99. This is a slightly negative value and a sign of low solvency as NRG would need 6.99 years to pay back of all of its debts.
- NRG has a better Debt to FCF ratio (6.99) than 86.96% of its industry peers.
- NRG has a Debt/Equity ratio of 5.66. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of NRG (5.66) is worse than 93.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.66 | ||
| Debt/FCF | 6.99 | ||
| Altman-Z | 2.54 |
ROIC/WACC1.5
WACC7.7%
2.3 Liquidity
- NRG has a Current Ratio of 1.05. This is a normal value and indicates that NRG is financially healthy and should not expect problems in meeting its short term obligations.
- NRG has a better Current ratio (1.05) than 76.09% of its industry peers.
- A Quick Ratio of 0.99 indicates that NRG may have some problems paying its short term obligations.
- NRG's Quick ratio of 0.99 is fine compared to the rest of the industry. NRG outperforms 76.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
- NRG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.10%.
- The Earnings Per Share has been growing by 22.12% on average over the past years. This is a very strong growth
- Looking at the last year, NRG shows a small growth in Revenue. The Revenue has grown by 5.91% in the last year.
- The Revenue has been growing by 23.42% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-10.1%
EPS 3Y-10.93%
EPS 5Y22.12%
EPS Q2Q%44.74%
Revenue 1Y (TTM)5.91%
Revenue growth 3Y1.39%
Revenue growth 5Y23.42%
Sales Q2Q%5.23%
3.2 Future
- Based on estimates for the next years, NRG will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.67% on average per year.
- The Revenue is expected to grow by 4.44% on average over the next years.
EPS Next Y-11.05%
EPS Next 2Y0.63%
EPS Next 3Y5.41%
EPS Next 5Y9.67%
Revenue Next Year-2.93%
Revenue Next 2Y6.01%
Revenue Next 3Y5.68%
Revenue Next 5Y4.44%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 17.62, which indicates a rather expensive current valuation of NRG.
- Compared to the rest of the industry, the Price/Earnings ratio of NRG is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 27.47, NRG is valued a bit cheaper.
- A Price/Forward Earnings ratio of 16.50 indicates a correct valuation of NRG.
- NRG's Price/Forward Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, NRG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.62 | ||
| Fwd PE | 16.5 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NRG is on the same level as its industry peers.
- 84.78% of the companies in the same industry are more expensive than NRG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.07 | ||
| EV/EBITDA | 12.08 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.8
EPS Next 2Y0.63%
EPS Next 3Y5.41%
5. Dividend
5.1 Amount
- NRG has a Yearly Dividend Yield of 1.11%.
- With a Dividend Yield of 1.11, NRG pays less dividend than the industry average, which is at 3.46. 82.61% of the companies listed in the same industry pay a better dividend than NRG!
- With a Dividend Yield of 1.11, NRG pays less dividend than the S&P500 average, which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
- The dividend of NRG is nicely growing with an annual growth rate of 75.36%!
- NRG has paid a dividend for at least 10 years, which is a reliable track record.
- As NRG did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)75.36%
Div Incr Years5
Div Non Decr Years7
5.3 Sustainability
- 29.77% of the earnings are spent on dividend by NRG. This is a low number and sustainable payout ratio.
- The dividend of NRG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP29.77%
EPS Next 2Y0.63%
EPS Next 3Y5.41%
152.05
-6.45 (-4.07%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)11-06 2025-11-06/bmo
Earnings (Next)02-24 2026-02-24/amc
Inst Owners94.25%
Inst Owner Change-0.06%
Ins Owners0.59%
Ins Owner Change-0.59%
Market Cap29.14B
Revenue(TTM)29.78B
Net Income(TTM)1.37B
Analysts77.89
Price Target193.91 (27.53%)
Short Float %2.15%
Short Ratio2.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
Yearly Dividend1.99
Dividend Growth(5Y)75.36%
DP29.77%
Div Incr Years5
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.17%
Min EPS beat(2)6.61%
Max EPS beat(2)29.74%
EPS beat(4)4
Avg EPS beat(4)32.63%
Min EPS beat(4)6.61%
Max EPS beat(4)77.8%
EPS beat(8)6
Avg EPS beat(8)56.44%
EPS beat(12)6
Avg EPS beat(12)-45.25%
EPS beat(16)8
Avg EPS beat(16)-49.41%
Revenue beat(2)2
Avg Revenue beat(2)0.32%
Min Revenue beat(2)0.06%
Max Revenue beat(2)0.58%
Revenue beat(4)3
Avg Revenue beat(4)-0.44%
Min Revenue beat(4)-11%
Max Revenue beat(4)8.6%
Revenue beat(8)4
Avg Revenue beat(8)-5.59%
Revenue beat(12)6
Avg Revenue beat(12)14.6%
Revenue beat(16)10
Avg Revenue beat(16)22.86%
PT rev (1m)1.57%
PT rev (3m)8.68%
EPS NQ rev (1m)-1.02%
EPS NQ rev (3m)-28.9%
EPS NY rev (1m)0.48%
EPS NY rev (3m)2.83%
Revenue NQ rev (1m)-6.59%
Revenue NQ rev (3m)-8.74%
Revenue NY rev (1m)-0.51%
Revenue NY rev (3m)-0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.62 | ||
| Fwd PE | 16.5 | ||
| P/S | 0.98 | ||
| P/FCF | 17.07 | ||
| P/OCF | 10.63 | ||
| P/B | 14.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.08 |
EPS(TTM)8.63
EY5.68%
EPS(NY)9.21
Fwd EY6.06%
FCF(TTM)8.91
FCFY5.86%
OCF(TTM)14.31
OCFY9.41%
SpS155.39
BVpS10.28
TBVpS-28.57
PEG (NY)N/A
PEG (5Y)0.8
Graham Number44.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.73% | ||
| ROE | 69.75% | ||
| ROCE | 14.89% | ||
| ROIC | 11.56% | ||
| ROICexc | 12.11% | ||
| ROICexgc | 23.27% | ||
| OM | 8.13% | ||
| PM (TTM) | 4.61% | ||
| GM | 21.15% | ||
| FCFM | 5.73% |
ROA(3y)2.54%
ROA(5y)4.09%
ROE(3y)21.93%
ROE(5y)31.38%
ROIC(3y)10.16%
ROIC(5y)11.32%
ROICexc(3y)10.6%
ROICexc(5y)12.26%
ROICexgc(3y)20.56%
ROICexgc(5y)20.12%
ROCE(3y)13.08%
ROCE(5y)14.57%
ROICexgc growth 3Y-2%
ROICexgc growth 5Y16.16%
ROICexc growth 3Y-16.33%
ROICexc growth 5Y1.76%
OM growth 3Y-18.92%
OM growth 5Y-11.2%
PM growth 3Y-22.57%
PM growth 5Y-39.18%
GM growth 3Y-4.97%
GM growth 5Y-4.2%
F-Score7
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.66 | ||
| Debt/FCF | 6.99 | ||
| Debt/EBITDA | 3.24 | ||
| Cap/Depr | 101.37% | ||
| Cap/Sales | 3.48% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.69% | ||
| Profit Quality | 124.24% | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 2.54 |
F-Score7
WACC7.7%
ROIC/WACC1.5
Cap/Depr(3y)43.04%
Cap/Depr(5y)39.77%
Cap/Sales(3y)1.64%
Cap/Sales(5y)1.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.1%
EPS 3Y-10.93%
EPS 5Y22.12%
EPS Q2Q%44.74%
EPS Next Y-11.05%
EPS Next 2Y0.63%
EPS Next 3Y5.41%
EPS Next 5Y9.67%
Revenue 1Y (TTM)5.91%
Revenue growth 3Y1.39%
Revenue growth 5Y23.42%
Sales Q2Q%5.23%
Revenue Next Year-2.93%
Revenue Next 2Y6.01%
Revenue Next 3Y5.68%
Revenue Next 5Y4.44%
EBIT growth 1Y205.17%
EBIT growth 3Y-17.79%
EBIT growth 5Y9.6%
EBIT Next Year75.89%
EBIT Next 3Y32.52%
EBIT Next 5Y24.08%
FCF growth 1Y169.11%
FCF growth 3Y101.55%
FCF growth 5Y10.05%
OCF growth 1Y247.42%
OCF growth 3Y67.24%
OCF growth 5Y11.07%
NRG ENERGY INC / NRG FAQ
What is the ChartMill fundamental rating of NRG ENERGY INC (NRG) stock?
ChartMill assigns a fundamental rating of 5 / 10 to NRG.
Can you provide the valuation status for NRG ENERGY INC?
ChartMill assigns a valuation rating of 4 / 10 to NRG ENERGY INC (NRG). This can be considered as Fairly Valued.
Can you provide the profitability details for NRG ENERGY INC?
NRG ENERGY INC (NRG) has a profitability rating of 5 / 10.
What is the financial health of NRG ENERGY INC (NRG) stock?
The financial health rating of NRG ENERGY INC (NRG) is 5 / 10.
How sustainable is the dividend of NRG ENERGY INC (NRG) stock?
The dividend rating of NRG ENERGY INC (NRG) is 5 / 10 and the dividend payout ratio is 29.77%.