NRG Energy, Inc. (NRG) vs Vistra Corp. (VST)

NRG Energy, Inc. and Vistra Corp. are both Utilities Independent Power Producers companies. Vistra Corp. is the larger, with a market value of $46.7B against $20.7B — 2.3× the size. Vistra Corp. trades at the lower P/E: 23.1× against 26.4×. NRG Energy, Inc. grew revenue faster over the last twelve months: 12.8% against 3.80%. Vistra Corp. has the higher net margin (10.6% vs 2.36%) and the higher return on invested capital (9.05% vs 4.54%). Both pay a dividend; NRG Energy, Inc. yields more (2.92% vs 1.95%). Across the 23 metrics below, Vistra Corp. leads on 14 and NRG Energy, Inc. on 9.

Valuation

Metric NRG VST Utilities Independent Power Producers median
P/E 26.41 23.08 25.63
P/S 0.64 2.43 2.78
P/B 5.04 15.45 3.29
Price to free cash flow 57.86 19.24 —
EV/EBITDA 11.05 10.37 13.69
EV/Sales 1.33 3.42 3.62
Earnings yield 3.79% 4.33% 2.03%
Free cash flow yield 1.73% 5.20% (1.89%)

Profitability

Metric NRG VST Utilities Independent Power Producers median
Gross margin 18.80% 37.99% 37.99%
Operating margin 6.08% 18.55% 4.83%
Net margin 2.36% 10.55% 1.18%
Free cash flow margin 1.10% 12.62% 0.50%
Return on equity 26.77% 75.38% 1.70%
Return on assets 2.44% 5.02% 0.93%
Return on invested capital 4.54% 9.05% 2.93%

Growth

Metric NRG VST Utilities Independent Power Producers median
Revenue growth (TTM) 12.80% 3.80% 12.80%
EPS growth (last fiscal year) (19.64%) (68.86%) —
Revenue growth, 5-year CAGR 27.56% 9.16% 15.82%
Net income growth, 5-year CAGR 9.34% 3.41% 1.71%

Health

Metric NRG VST Utilities Independent Power Producers median
Debt to equity 4.79 3.57 0.74
Current ratio 0.97 0.97 1.21
Net debt to EBITDA 3.21 3.71 3.88

Dividend

Metric NRG VST Utilities Independent Power Producers median
Dividend yield 2.92% 1.95% —
Payout ratio 0.17 0.22 0.17

Size

Metric NRG VST Utilities Independent Power Producers median
Market cap 20.66b 46.65b 11.01b

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