What to Expect from NRG Energy's Earnings

NRG Energy NRG is set to give its latest quarterly earnings report on Friday, 2024-11-08. Here's what investors need to know before the announcement.

Analysts estimate that NRG Energy will 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).

Performance in Previous Earnings

In the previous earnings release, the company beat EPS by $1.78, leading to a 2.98% increase in the share price the following trading session.

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

Market Performance of NRG Energy's Stock

Shares of NRG Energy were trading at $92.39 as of November 06. Over the last 52-week period, shares are up 111.24%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Analysts' Perspectives on NRG Energy

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on NRG Energy.

NRG Energy has received a total of 7 ratings from analysts, with the consensus rating as Neutral. With an average one-year price target of $104.29, the consensus suggests a potential 12.88% upside.

Peer Ratings Overview

In this analysis, we delve into the analyst ratings and average 1-year price targets of and NRG Energy, three key industry players, offering insights into their relative performance expectations and market positioning.

Comprehensive Peer 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. In terms of return on equity, NRG Energy is at the top compared to its peers.

Unveiling the Story Behind 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.

NRG Energy's Economic Impact: An Analysis

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining NRG Energy's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 4.9% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the 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): NRG Energy's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 25.66%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): NRG Energy's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.82% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: NRG Energy's debt-to-equity ratio surpasses industry norms, standing at 3.67. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

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.