According to Wall Street analysts, NRG Energy’s (NRG) price target for the next year is $20.36. That implies an estimated rise of nearly 12.0% in one year from its current price of $18.24.
Of the 14 analysts tracking NRG Energy, five have recommended a “buy” for the stock, five have recommended a “strong buy,” and four have recommended a “hold.” None of the analysts have given NRG a “sell” recommendation as of March 22, 2017.
Peers’ price targets
Calpine (CPN) has a one-year price target of $15.07 compared to its market price of $10.90, which implies an upside of 38.0%. For Dynegy (DYN), Wall Street analysts have a price target of $11.96, which implies a rise of 64.0% in one year from its current market price of $7.30.
NRG Energy might appear attractive to investors after rising 80.0% in the last year. It may also be on a growth path after the recent activist involvement. However, a fundamental weakness among power producers may persist considering poor power demand and lower power prices.
To learn more, be sure to read These S&P 500 Utilities Offer Big Upsides after the Rate Hike.