Weiss Ratings Reaffirms “Buy” for Vistra Amid Analyst Upgrades

Weiss Ratings has reaffirmed its “Buy (B-)” rating for Vistra Corp. (NYSE: VST), as noted in a research report released on Thursday. This decision comes on the heels of several other positive assessments from various financial institutions, indicating growing confidence in the company’s stock.

Analyst Ratings and Price Targets

Cowen initiated coverage on Vistra on October 15, 2023, assigning a “Buy” rating. Meanwhile, BMO Capital Markets raised its price target for Vistra from $229.00 to $236.00 while maintaining an “Outperform” rating in a report dated October 3, 2023. UBS Group also boosted its price target from $207.00 to $230.00 and confirmed a “Buy” rating on July 25, 2023.

Jefferies Financial Group reiterated a “Hold” rating but adjusted its target price to $230.00, down from $241.00, in a note released on September 22, 2023. Additionally, Melius Research upgraded Vistra to a “Strong Buy” rating on August 20, 2023. Currently, four analysts rate the stock as a Strong Buy, twelve as Buy, and two as Hold, leading to an average rating of “Buy” with a consensus price target of $229.93, according to MarketBeat.com.

Vistra’s Stock Performance

On Thursday, shares of Vistra opened at $188.36. The company’s 50-day moving average stands at $199.50, while the 200-day moving average is $181.69. Vistra holds a market capitalization of approximately $63.82 billion and a price-to-earnings (P/E) ratio of 30.04. The stock has fluctuated significantly over the past year, with a 52-week low of $90.51 and a high of $219.82.

In its most recent quarterly earnings report released on August 7, 2023, Vistra reported earnings per share of $1.01, falling short of analysts’ expectations of $1.63 by $0.62. The company generated revenues of $4.25 billion, compared to analyst estimates of $5.15 billion. Vistra demonstrated a net margin of 12.90% and a return on equity of 108.41%. Analysts anticipate that Vistra will report an earnings per share of $7 for the current fiscal year.

In related corporate activity, CEO James A. Burke sold 9,641 shares of Vistra on October 29, 2023, at an average price of $192.30, totaling approximately $1.85 million. After this transaction, Burke retains ownership of 298,967 shares, valued at nearly $57.49 million. Over the last 90 days, insiders have sold 723,910 shares worth about $148.09 million, with insiders holding 1.42% of the stock.

Institutional Investment Trends

Recent shifts in institutional investment reveal a growing interest in Vistra. Salomon & Ludwin LLC acquired a new stake valued at approximately $25,000 during the third quarter, while Quent Capital LLC made a similar investment. Additionally, Twin Peaks Wealth Advisors LLC and Anfield Capital Management LLC bought new positions in the second quarter, with stakes valued at around $28,000 and $29,000, respectively. Finally, Orion Capital Management LLC also entered the market with a new stake in the third quarter, valued at $29,000. Currently, institutional investors and hedge funds own approximately 90.88% of Vistra’s stock.

Vistra Corp. operates as an integrated retail electricity and power generation company, providing energy solutions to residential, commercial, and industrial customers across the United States. The company functions through six segments: Retail, Texas, East, West, Sunset, and Asset Closure.

With analysts expressing optimism, Vistra’s stock remains a focal point for investors keen on the energy sector.