NRG ENERGY INC (NRG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NRG - US6293775085 - Common Stock
164.65 USD
+1.65 (+1.01%)
Taking everything into account, NRG scores 5 out of 10 in our fundamental rating. NRG was compared to 48 industry peers in the Electric Utilities industry. Both the profitability and the financial health of NRG get a neutral evaluation. Nothing too spectacular is happening here. NRG is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NRG had positive earnings in the past year.
In the past year NRG had a positive cash flow from operations.
Of the past 5 years NRG 4 years were profitable.
NRG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
NRG's Return On Assets of 5.73% is amongst the best of the industry. NRG outperforms 87.50% of its industry peers.
NRG has a better Return On Equity (69.75%) than 100.00% of its industry peers.
NRG has a Return On Invested Capital of 11.56%. This is amongst the best in the industry. NRG outperforms 97.92% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NRG is significantly above the industry average of 4.95%.
The 3 year average ROIC (10.16%) for NRG is below the current ROIC(11.56%), indicating increased profibility in the last year.
| 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
NRG has a worse Profit Margin (4.61%) than 85.42% of its industry peers.
In the last couple of years the Profit Margin of NRG has declined.
Looking at the Operating Margin, with a value of 8.13%, NRG is doing worse than 89.58% of the companies in the same industry.
In the last couple of years the Operating Margin of NRG has declined.
The Gross Margin of NRG (21.15%) is worse than 72.92% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NRG is creating some value.
Compared to 1 year ago, NRG has less shares outstanding
Compared to 5 years ago, NRG has less shares outstanding
The debt/assets ratio for NRG is higher compared to a year ago.
2.2 Solvency
NRG has an Altman-Z score of 2.56. This is not the best score and indicates that NRG is in the grey zone with still only limited risk for bankruptcy at the moment.
With an excellent Altman-Z score value of 2.56, NRG belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
The Debt to FCF ratio of NRG is 6.99, which is on the high side as it means it would take NRG, 6.99 years of fcf income to pay off all of its debts.
NRG has a better Debt to FCF ratio (6.99) than 85.42% 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 95.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.66 | ||
| Debt/FCF | 6.99 | ||
| Altman-Z | 2.56 |
ROIC/WACC1.5
WACC7.69%
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 Current ratio of 1.05. This is in the better half of the industry: NRG outperforms 70.83% of its industry peers.
A Quick Ratio of 0.99 indicates that NRG may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.99, NRG is in the better half of the industry, outperforming 72.92% of the companies in the same industry.
| 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%.
NRG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.12% yearly.
NRG shows a small growth in Revenue. In the last year, the Revenue has grown by 5.91%.
NRG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.42% yearly.
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.
Based on estimates for the next years, NRG will show a small growth in Revenue. The Revenue will grow by 4.44% on average per year.
EPS Next Y-11.47%
EPS Next 2Y0.97%
EPS Next 3Y5.46%
EPS Next 5Y9.67%
Revenue Next Year-2.44%
Revenue Next 2Y6.46%
Revenue Next 3Y5.83%
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
NRG is valuated rather expensively with a Price/Earnings ratio of 19.08.
NRG's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.49. NRG is valued slightly cheaper when compared to this.
NRG is valuated rather expensively with a Price/Forward Earnings ratio of 17.75.
The rest of the industry has a similar Price/Forward Earnings ratio as NRG.
NRG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.08 | ||
| Fwd PE | 17.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NRG is valued a bit more expensive than 62.50% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NRG is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.48 | ||
| EV/EBITDA | 12.33 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.86
EPS Next 2Y0.97%
EPS Next 3Y5.46%
5. Dividend
5.1 Amount
NRG has a Yearly Dividend Yield of 1.04%.
With a Dividend Yield of 1.04, NRG pays less dividend than the industry average, which is at 3.42. 81.25% of the companies listed in the same industry pay a better dividend than NRG!
Compared to an average S&P500 Dividend Yield of 2.31, NRG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
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
NRG pays out 29.77% of its income as dividend. This is a sustainable payout ratio.
NRG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP29.77%
EPS Next 2Y0.97%
EPS Next 3Y5.46%
NYSE:NRG (12/8/2025, 3:33:54 PM)
164.65
+1.65 (+1.01%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners93.96%
Inst Owner Change-4.03%
Ins Owners0.61%
Ins Owner Change0.04%
Market Cap31.55B
Revenue(TTM)29.78B
Net Income(TTM)1.37B
Analysts77.78
Price Target190.49 (15.69%)
Short Float %2.43%
Short Ratio2.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.04% |
Yearly Dividend1.99
Dividend Growth(5Y)75.36%
DP29.77%
Div Incr Years5
Div Non Decr Years7
Ex-Date
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)4.93%
PT rev (3m)7.15%
EPS NQ rev (1m)-20.28%
EPS NQ rev (3m)-31.18%
EPS NY rev (1m)2.21%
EPS NY rev (3m)2.49%
Revenue NQ rev (1m)-1.84%
Revenue NQ rev (3m)-2.3%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.08 | ||
| Fwd PE | 17.75 | ||
| P/S | 1.06 | ||
| P/FCF | 18.48 | ||
| P/OCF | 11.51 | ||
| P/B | 16.02 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.33 |
EPS(TTM)8.63
EY5.24%
EPS(NY)9.28
Fwd EY5.63%
FCF(TTM)8.91
FCFY5.41%
OCF(TTM)14.31
OCFY8.69%
SpS155.39
BVpS10.28
TBVpS-28.57
PEG (NY)N/A
PEG (5Y)0.86
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 | 2.56 |
F-Score7
WACC7.69%
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-11.47%
EPS Next 2Y0.97%
EPS Next 3Y5.46%
EPS Next 5Y9.67%
Revenue 1Y (TTM)5.91%
Revenue growth 3Y1.39%
Revenue growth 5Y23.42%
Sales Q2Q%5.23%
Revenue Next Year-2.44%
Revenue Next 2Y6.46%
Revenue Next 3Y5.83%
Revenue Next 5Y4.44%
EBIT growth 1Y205.17%
EBIT growth 3Y-17.79%
EBIT growth 5Y9.6%
EBIT Next Year75.41%
EBIT Next 3Y33.23%
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.
What is the valuation status for NRG stock?
ChartMill assigns a valuation rating of 3 / 10 to NRG ENERGY INC (NRG). This can be considered as Overvalued.
Can you provide the profitability details for NRG ENERGY INC?
NRG ENERGY INC (NRG) has a profitability rating of 5 / 10.
What is the valuation of NRG ENERGY INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NRG ENERGY INC (NRG) is 19.08 and the Price/Book (PB) ratio is 16.02.
Can you provide the expected EPS growth for NRG stock?
The Earnings per Share (EPS) of NRG ENERGY INC (NRG) is expected to decline by -11.47% in the next year.