Logo image of NRG

NRG ENERGY INC (NRG) Stock Fundamental Analysis

USA - NYSE:NRG - US6293775085 - Common Stock

170.36 USD
+6.55 (+4%)
Last: 10/24/2025, 8:04:00 PM
170.36 USD
0 (0%)
After Hours: 10/24/2025, 8:04:00 PM
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to NRG. NRG was compared to 47 industry peers in the Electric Utilities industry. Both the profitability and the financial health of NRG get a neutral evaluation. Nothing too spectacular is happening here. NRG is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

In the past year NRG was profitable.
NRG had a positive operating cash flow in the past year.
NRG had positive earnings in 4 of the past 5 years.
Of the past 5 years NRG 4 years had a positive operating cash flow.
NRG Yearly Net Income VS EBIT VS OCF VS FCFNRG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B -4B -6B

1.2 Ratios

With a Return On Assets value of 1.89%, NRG is not doing good in the industry: 85.11% of the companies in the same industry are doing better.
NRG's Return On Equity of 19.89% is amongst the best of the industry. NRG outperforms 91.49% of its industry peers.
With a Return On Invested Capital value of 2.92%, NRG is not doing good in the industry: 82.98% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for NRG is significantly above the industry average of 4.90%.
The 3 year average ROIC (10.16%) for NRG is well above the current ROIC(2.92%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 1.89%
ROE 19.89%
ROIC 2.92%
ROA(3y)2.54%
ROA(5y)4.09%
ROE(3y)21.93%
ROE(5y)31.38%
ROIC(3y)10.16%
ROIC(5y)11.32%
NRG Yearly ROA, ROE, ROICNRG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200 -200 400 600

1.3 Margins

NRG has a Profit Margin of 1.55%. This is amonst the worse of the industry: NRG underperforms 91.49% of its industry peers.
In the last couple of years the Profit Margin of NRG has declined.
NRG has a worse Operating Margin (1.96%) than 91.49% of its industry peers.
NRG's Operating Margin has declined in the last couple of years.
NRG has a Gross Margin of 15.25%. This is in the lower half of the industry: NRG underperforms 78.72% of its industry peers.
In the last couple of years the Gross Margin of NRG has declined.
Industry RankSector Rank
OM 1.96%
PM (TTM) 1.55%
GM 15.25%
OM growth 3Y-18.92%
OM growth 5Y-11.2%
PM growth 3Y-22.57%
PM growth 5Y-39.18%
GM growth 3Y-4.97%
GM growth 5Y-4.2%
NRG Yearly Profit, Operating, Gross MarginsNRG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 -40

4

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NRG is still creating some value.
NRG has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, NRG has less shares outstanding
Compared to 1 year ago, NRG has a worse debt to assets ratio.
NRG Yearly Shares OutstandingNRG Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M
NRG Yearly Total Debt VS Total AssetsNRG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

2.2 Solvency

An Altman-Z score of 2.29 indicates that NRG is not a great score, but indicates only limited risk for bankruptcy at the moment.
NRG has a Altman-Z score of 2.29. This is amongst the best in the industry. NRG outperforms 91.49% of its industry peers.
NRG has a debt to FCF ratio of 7.85. This is a slightly negative value and a sign of low solvency as NRG would need 7.85 years to pay back of all of its debts.
NRG has a Debt to FCF ratio of 7.85. This is amongst the best in the industry. NRG outperforms 85.11% of its industry peers.
A Debt/Equity ratio of 4.29 is on the high side and indicates that NRG has dependencies on debt financing.
NRG has a worse Debt to Equity ratio (4.29) than 95.74% of its industry peers.
Industry RankSector Rank
Debt/Equity 4.29
Debt/FCF 7.85
Altman-Z 2.29
ROIC/WACC0.38
WACC7.64%
NRG Yearly LT Debt VS Equity VS FCFNRG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B

2.3 Liquidity

A Current Ratio of 0.93 indicates that NRG may have some problems paying its short term obligations.
NRG has a Current ratio of 0.93. This is comparable to the rest of the industry: NRG outperforms 53.19% of its industry peers.
NRG has a Quick Ratio of 0.93. This is a bad value and indicates that NRG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.88, NRG is in the better half of the industry, outperforming 63.83% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.93
Quick Ratio 0.88
NRG Yearly Current Assets VS Current LiabilitesNRG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

5

3. Growth

3.1 Past

NRG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -14.60%.
Measured over the past years, NRG shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.12% on average per year.
NRG shows a small growth in Revenue. In the last year, the Revenue has grown by 1.82%.
The Revenue has been growing by 23.42% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-14.6%
EPS 3Y-10.93%
EPS 5Y22.12%
EPS Q2Q%-50.15%
Revenue 1Y (TTM)1.82%
Revenue growth 3Y1.39%
Revenue growth 5Y23.42%
Sales Q2Q%1.22%

3.2 Future

The Earnings Per Share is expected to grow by 7.32% on average over the next years.
NRG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.62% yearly.
EPS Next Y-13.27%
EPS Next 2Y-0.31%
EPS Next 3Y5.59%
EPS Next 5Y7.32%
Revenue Next Year-2.15%
Revenue Next 2Y3.7%
Revenue Next 3Y3.63%
Revenue Next 5Y3.62%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
NRG Yearly Revenue VS EstimatesNRG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B
NRG Yearly EPS VS EstimatesNRG Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 5 10

2

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 21.90, the valuation of NRG can be described as rather expensive.
68.09% of the companies in the same industry are cheaper than NRG, based on the Price/Earnings ratio.
NRG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.89.
With a Price/Forward Earnings ratio of 18.84, NRG is valued on the expensive side.
NRG's Price/Forward Earnings ratio is in line with the industry average.
NRG's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.99.
Industry RankSector Rank
PE 21.9
Fwd PE 18.84
NRG Price Earnings VS Forward Price EarningsNRG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, NRG is valued more expensive than 85.11% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NRG is valued a bit cheaper than the industry average as 78.72% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 23.64
EV/EBITDA 26.99
NRG Per share dataNRG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100 150

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)0.99
EPS Next 2Y-0.31%
EPS Next 3Y5.59%

3

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 1.07%, NRG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.23, NRG's dividend is way lower than its industry peers. On top of this 80.85% of the companies listed in the same industry pay a better dividend than NRG!
Compared to an average S&P500 Dividend Yield of 2.31, NRG's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 1.07%

5.2 History

The dividend of NRG is nicely growing with an annual growth rate of 75.36%!
NRG has been paying a dividend for at least 10 years, so it has a reliable track record.
As NRG did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)75.36%
Div Incr Years5
Div Non Decr Years7
NRG Yearly Dividends per shareNRG Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

89.67% of the earnings are spent on dividend by NRG. This is not a sustainable payout ratio.
The dividend of NRG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP89.67%
EPS Next 2Y-0.31%
EPS Next 3Y5.59%
NRG Yearly Income VS Free CF VS DividendNRG Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B -4B -6B
NRG Dividend Payout.NRG Dividend Payout, showing the Payout Ratio.NRG Dividend Payout.PayoutRetained Earnings

NRG ENERGY INC

NYSE:NRG (10/24/2025, 8:04:00 PM)

After market: 170.36 0 (0%)

170.36

+6.55 (+4%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)08-06 2025-08-06/bmo
Earnings (Next)11-06 2025-11-06
Inst Owners95.97%
Inst Owner Change-0.43%
Ins Owners0.61%
Ins Owner Change-0.7%
Market Cap32.95B
Revenue(TTM)29.37B
Net Income(TTM)455.00M
Analysts78.67
Price Target178.03 (4.5%)
Short Float %2.47%
Short Ratio2.07
Dividend
Industry RankSector Rank
Dividend Yield 1.07%
Yearly Dividend1.99
Dividend Growth(5Y)75.36%
DP89.67%
Div Incr Years5
Div Non Decr Years7
Ex-Date11-03 2025-11-03 (0.44)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)42.2%
Min EPS beat(2)6.61%
Max EPS beat(2)77.8%
EPS beat(4)3
Avg EPS beat(4)23.74%
Min EPS beat(4)-5.85%
Max EPS beat(4)77.8%
EPS beat(8)5
Avg EPS beat(8)44.55%
EPS beat(12)5
Avg EPS beat(12)-54.39%
EPS beat(16)8
Avg EPS beat(16)-39.4%
Revenue beat(2)2
Avg Revenue beat(2)4.33%
Min Revenue beat(2)0.06%
Max Revenue beat(2)8.6%
Revenue beat(4)2
Avg Revenue beat(4)-6.53%
Min Revenue beat(4)-23.77%
Max Revenue beat(4)8.6%
Revenue beat(8)3
Avg Revenue beat(8)-9.18%
Revenue beat(12)6
Avg Revenue beat(12)15.11%
Revenue beat(16)10
Avg Revenue beat(16)25.86%
PT rev (1m)0.13%
PT rev (3m)4.77%
EPS NQ rev (1m)2.9%
EPS NQ rev (3m)-7.32%
EPS NY rev (1m)0.27%
EPS NY rev (3m)2.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.22%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)1.39%
Valuation
Industry RankSector Rank
PE 21.9
Fwd PE 18.84
P/S 1.12
P/FCF 23.64
P/OCF 14.4
P/B 14.4
P/tB N/A
EV/EBITDA 26.99
EPS(TTM)7.78
EY4.57%
EPS(NY)9.04
Fwd EY5.31%
FCF(TTM)7.21
FCFY4.23%
OCF(TTM)11.83
OCFY6.95%
SpS151.82
BVpS11.83
TBVpS-27.08
PEG (NY)N/A
PEG (5Y)0.99
Graham Number45.5
Profitability
Industry RankSector Rank
ROA 1.89%
ROE 19.89%
ROCE 3.76%
ROIC 2.92%
ROICexc 2.95%
ROICexgc 5.88%
OM 1.96%
PM (TTM) 1.55%
GM 15.25%
FCFM 4.75%
ROA(3y)2.54%
ROA(5y)4.09%
ROE(3y)21.93%
ROE(5y)31.38%
ROIC(3y)10.16%
ROIC(5y)11.32%
ROICexc(3y)10.6%
ROICexc(5y)12.26%
ROICexgc(3y)20.56%
ROICexgc(5y)20.12%
ROCE(3y)13.08%
ROCE(5y)14.57%
ROICexgc growth 3Y-2%
ROICexgc growth 5Y16.16%
ROICexc growth 3Y-16.33%
ROICexc growth 5Y1.76%
OM growth 3Y-18.92%
OM growth 5Y-11.2%
PM growth 3Y-22.57%
PM growth 5Y-39.18%
GM growth 3Y-4.97%
GM growth 5Y-4.2%
F-Score5
Asset Turnover1.22
Health
Industry RankSector Rank
Debt/Equity 4.29
Debt/FCF 7.85
Debt/EBITDA 6.06
Cap/Depr 85.65%
Cap/Sales 3.05%
Interest Coverage 250
Cash Conversion 141.3%
Profit Quality 306.37%
Current Ratio 0.93
Quick Ratio 0.88
Altman-Z 2.29
F-Score5
WACC7.64%
ROIC/WACC0.38
Cap/Depr(3y)43.04%
Cap/Depr(5y)39.77%
Cap/Sales(3y)1.64%
Cap/Sales(5y)1.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.6%
EPS 3Y-10.93%
EPS 5Y22.12%
EPS Q2Q%-50.15%
EPS Next Y-13.27%
EPS Next 2Y-0.31%
EPS Next 3Y5.59%
EPS Next 5Y7.32%
Revenue 1Y (TTM)1.82%
Revenue growth 3Y1.39%
Revenue growth 5Y23.42%
Sales Q2Q%1.22%
Revenue Next Year-2.15%
Revenue Next 2Y3.7%
Revenue Next 3Y3.63%
Revenue Next 5Y3.62%
EBIT growth 1Y-75.89%
EBIT growth 3Y-17.79%
EBIT growth 5Y9.6%
EBIT Next Year77.53%
EBIT Next 3Y32.24%
EBIT Next 5Y18.72%
FCF growth 1Y131.7%
FCF growth 3Y101.55%
FCF growth 5Y10.05%
OCF growth 1Y159.35%
OCF growth 3Y67.24%
OCF growth 5Y11.07%

NRG ENERGY INC / NRG FAQ

What is the ChartMill fundamental rating of NRG ENERGY INC (NRG) stock?

ChartMill assigns a fundamental rating of 4 / 10 to NRG.


What is the valuation status for NRG stock?

ChartMill assigns a valuation rating of 2 / 10 to NRG ENERGY INC (NRG). This can be considered as Overvalued.


Can you provide the profitability details for NRG ENERGY INC?

NRG ENERGY INC (NRG) has a profitability rating of 4 / 10.


What is the valuation of NRG ENERGY INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for NRG ENERGY INC (NRG) is 21.9 and the Price/Book (PB) ratio is 14.4.


Can you provide the expected EPS growth for NRG stock?

The Earnings per Share (EPS) of NRG ENERGY INC (NRG) is expected to decline by -13.27% in the next year.