Vistra Corp. (VST) shares soared 10.5% in the last trading session to close at $166.37. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 13.8% loss over the past four weeks.
Vistra has recently signed a 20-year power purchase agreement to supply more than 2,600 megawatts (MW) of zero-carbon electricity from three of its nuclear facilities to support Meta’s regional operations. Energy deliveries are set to begin in late 2026, creating a long-term and meaningful revenue stream for Vistra.
Vistra has signed definitive agreement to acquire Cogentrix Energy, which includes 10 modern natural gas–fired power plants with a combined capacity of about 5,500 MW, for a net purchase price of roughly $4.0 billion. This transaction marks Vistra’s second opportunistic expansion of its generation portfolio, strengthening its ability to meet rising customer demand in key markets.
This company is expected to post quarterly earnings of $2.45 per share in its upcoming report, which represents a year-over-year change of +114.9%. Revenues are expected to be $5.16 billion, up 27.8% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Vistra, the consensus EPS estimate for the quarter has been revised 3.5% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on VST going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Vistra is part of the Zacks Utility - Electric Power industry. Brookfield Renewable Energy Partners (BEP), another stock in the same industry, closed the last trading session 0.3% higher at $26.93. BEP has returned -4.2% in the past month.
Brookfield Renewable's consensus EPS estimate for the upcoming report has changed +32.7% over the past month to -$0.35. Compared to the company's year-ago EPS, this represents a change of -483.3%. Brookfield Renewable currently boasts a Zacks Rank of #3 (Hold).
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Vistra Corp. (VST): Free Stock Analysis Report Brookfield Renewable Partners L.P. (BEP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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