NRG Energy (NYSE:NRG) Shares Down 8.7% Following Weak Earnings

NRG Energy, Inc. (NYSE:NRG)’s share price was down 8.7% on Tuesday following a dissappointing earnings announcement. The stock traded as low as $128.02 and last traded at $126.4360. Approximately 442,596 shares traded hands during trading, a decline of 83% from the average daily volume of 2,603,033 shares. The stock had previously closed at $138.47.

The utilities provider reported $1.49 earnings per share for the quarter, missing analysts’ consensus estimates of $1.69 by ($0.20). NRG Energy had a return on equity of 70.67% and a net margin of 0.74%.During the same quarter last year, the business earned $1.73 earnings per share. The company’s quarterly revenue was up 11.0% on a year-over-year basis. NRG Energy has set its FY 2026 guidance at 7.900-9.900 EPS.

NRG Energy Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 17th. Stockholders of record on Monday, August 3rd will be given a $0.475 dividend. This represents a $1.90 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Monday, August 3rd. NRG Energy’s payout ratio is currently 223.53%.

Analysts Set New Price Targets

NRG has been the topic of several recent analyst reports. UBS Group lowered their price target on NRG Energy from $221.00 to $216.00 and set a “buy” rating on the stock in a research report on Tuesday, July 28th. Weiss Ratings raised shares of NRG Energy from a “hold (c-)” rating to a “hold (c)” rating in a report on Friday, July 17th. Raymond James Financial set a $210.00 price objective on NRG Energy in a report on Monday, April 27th. Siebert Williams Shank began coverage on shares of NRG Energy in a research report on Monday, July 6th. They set a “buy” rating and a $184.00 target price on the stock. Finally, Williams Trading set a $184.00 price target on NRG Energy in a research report on Monday, July 6th. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and four have issued a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $201.79.

Insider Buying and Selling

In other news, VP Virginia Kinney sold 20,000 shares of NRG Energy stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $127.52, for a total transaction of $2,550,400.00. Following the sale, the vice president directly owned 45,111 shares of the company’s stock, valued at approximately $5,752,554.72. This trade represents a 30.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.43% of the company’s stock.

Institutional Investors Weigh In On NRG Energy

Several hedge funds have recently added to or reduced their stakes in the business. Brighton Jones LLC grew its holdings in NRG Energy by 41.8% during the 4th quarter. Brighton Jones LLC now owns 5,187 shares of the utilities provider’s stock worth $468,000 after acquiring an additional 1,528 shares during the last quarter. Integrated Wealth Concepts LLC bought a new position in shares of NRG Energy during the first quarter valued at $323,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of NRG Energy by 7.3% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 20,257 shares of the utilities provider’s stock worth $1,934,000 after purchasing an additional 1,381 shares during the period. Woodline Partners LP grew its stake in shares of NRG Energy by 40.7% in the first quarter. Woodline Partners LP now owns 17,114 shares of the utilities provider’s stock worth $1,634,000 after purchasing an additional 4,949 shares during the last quarter. Finally, Marshall Wace LLP bought a new stake in shares of NRG Energy in the second quarter worth $7,937,000. 97.72% of the stock is currently owned by institutional investors and hedge funds.

NRG Energy Stock Down 9.6%

The firm has a market capitalization of $26.41 billion, a price-to-earnings ratio of 147.28 and a beta of 1.22. The company has a debt-to-equity ratio of 4.68, a current ratio of 0.84 and a quick ratio of 0.78. The stock has a fifty day moving average of $135.65 and a two-hundred day moving average of $147.98.

About NRG Energy

NRG Energy (NYSE: NRG) is a U.S.-based integrated power company headquartered in Houston, Texas. The company develops, owns and operates a diversified portfolio of power generation assets and participates in wholesale and retail energy markets. NRG supplies electricity to utilities, commercial and industrial customers, and retail consumers, while also providing energy-related products and services designed to manage consumption and support reliability.

NRG’s generation mix includes conventional thermal plants as well as renewable and distributed energy resources.