NRG Energy (NRG) ended the recent trading session at $150.59, demonstrating a +1.14% change from the preceding day's closing price. This change outpaced the S&P 500's 0.19% loss on the day. Elsewhere, the Dow saw a downswing of 0.8%, while the tech-heavy Nasdaq depreciated by 0.1%.
Shares of the power company witnessed a loss of 6.94% over the previous month, trailing the performance of the Utilities sector with its loss of 2.46%, and the S&P 500's gain of 2.26%.
The upcoming earnings release of NRG Energy will be of great interest to investors. In that report, analysts expect NRG Energy to post earnings of $1.19 per share. This would mark a year-over-year decline of 21.71%. At the same time, our most recent consensus estimate is projecting a revenue of $7.32 billion, reflecting a 7.36% rise from the equivalent quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $8.15 per share and a revenue of $30.3 billion, indicating changes of +22.74% and 0%, respectively, from the former year.
Any recent changes to analyst estimates for NRG Energy should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.42% lower within the past month. At present, NRG Energy boasts a Zacks Rank of #4 (Sell).
Investors should also note NRG Energy's current valuation metrics, including its Forward P/E ratio of 14.53. This valuation marks a discount compared to its industry average Forward P/E of 17.34.
The Utility - Electric Power industry is part of the Utilities sector. Currently, this industry holds a Zacks Industry Rank of 60, positioning it in the top 25% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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NRG Energy, Inc. (NRG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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