NRG Energy's Earnings: A Preview

NRG Energy NRG is preparing to release its quarterly earnings on Friday, 2024-11-08. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect NRG Energy to report an earnings per share (EPS) of $2.22.

NRG Energy bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Past Earnings Performance

The company's EPS beat by $1.78 in the last quarter, leading to a 2.98% increase in the share price on the following day.

Here's a look at NRG Energy's past performance and the resulting price change:

NRG Energy Share Price Analysis

Shares of NRG Energy were trading at $92.39 as of November 06. Over the last 52-week period, shares are up 110.47%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Analysts' Take on NRG Energy

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on NRG Energy.

A total of 7 analyst ratings have been received for NRG Energy, with the consensus rating being Neutral. The average one-year price target stands at $104.29, suggesting a potential 12.88% upside.

Comparing Ratings Among Industry Peers

This comparison focuses on the analyst ratings and average 1-year price targets of and NRG Energy, three major players in the industry, shedding light on their relative performance expectations and market positioning.

Peers Comparative Analysis Summary

The peer analysis summary presents essential metrics for and NRG Energy, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

NRG Energy is positioned in the middle among its peers for consensus rating. It ranks in the middle for revenue growth. The company is at the top for gross profit. NRG Energy is at the top for return on equity.

All You Need to Know About NRG Energy

NRG Energy is one of the largest retail energy providers in the us, with 6 million customers. Vivint Smart Home, which NRG acquired in 2023, has 2 million home services customers. NRG also is one of the largest us independent power producers, with 13 gigawatts of coal, gas, and oil power generation capacity primarily in Texas. NRG exited Chapter 11 bankruptcy as a stand-alone entity in December 2003.

Financial Insights: NRG Energy

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: NRG Energy's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 4.9%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Utilities sector.

Net Margin: NRG Energy's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 10.83%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 25.66%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): NRG Energy's ROA excels beyond industry benchmarks, reaching 2.82%. This signifies efficient management of assets and strong financial health.

Debt Management: NRG Energy's debt-to-equity ratio stands notably higher than the industry average, reaching 3.67. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

To track all earnings releases for NRG Energy visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.