Vistra Corp. (NYSE:VST) is one of the best performing S&P 500 stocks in the last five years. Analyst Sentiment on Vistra (VST) Remains Strong Following Goldman Sachs’ Bullish Update More than 90% of analysts are bullish on Vistra Corp. (NYSE:VST) as of February 6, 2026, with a consensus price target of $232, implying 62.2% upside. Citing the recent decline in shares and rising estimates, Goldman Sachs upgraded Vistra Corp. (NYSE:VST) on February 6, 2026, to ‘Buy’ from ‘Neutral’ with a $205 price target. ...

Group 1: Natural Gas Power Generation - The demand for baseload power generation is driving utilities to invest in modern natural gas-fired power plants, which offer operational flexibility and lower emissions [1] - Over 100 GW of new natural gas generation capacity has been announced in the U.S., although supply chain issues are causing delays [1] - Experts predict a strong near-term outlook for natural gas due to its ability to provide reliable power as the grid integrates more renewable energy sources [1] Group 2: CPV Basin Ranch Project - The CPV Basin Ranch Energy Center in Texas will have a generation capacity of 1,350 MW and is supported by a $1.1 billion loan from the Texas Energy Fund [2][3] - The project aims to enhance grid reliability following the February 2021 winter storm that caused widespread power outages [3] - CPV is committed to developing dispatchable power generation to meet Texas's growing energy demands [4] Group 3: Desert Sun Power Plant - Arizona Public Service (APS) plans to develop a 2,000-MW natural gas-fired Desert Sun Power Plant to support customer growth and data center investments [5] - The project will be executed in two phases, with Phase 1 expected to begin operations by late 2030 [5] - APS aims to maintain a balanced energy portfolio, adding 7,300 MW of new generation resources by 2028 [5] Group 4: Thurrock Power Project - The Thurrock Power project in the UK will feature a 450-MW flexible generation station designed to support grid reliability and integrate renewable energy [6][7] - The project is expected to be operational by late 2026 and will utilize Jenbacher engines for rapid start-up capabilities [7][8] - This project represents a significant milestone in the UK's energy transition towards a low-carbon power mix [8] Group 5: Xcel Energy Initiatives - Xcel Energy is investing in new gas-fired power plants in Texas and New Mexico, with a total capacity of 2,088 MW [9] - The company is transitioning from coal-fired generation to gas-fired units to meet growing energy demands [9] - Xcel's broader portfolio includes 17 new power initiatives aimed at adding over 5,000 MW of capacity by 2030 [9] Group 6: Siemens Energy Projects - Siemens Energy is involved in multiple international projects, including gas-fired plants in Saudi Arabia and Iraq, with a focus on hydrogen-ready technology [10] - The company is also developing modular gas-powered solutions for the data center sector, providing scalable power generation [10] Group 7: Net Power's Project Permian - Net Power is advancing its Project Permian clean firm power hub in West Texas, utilizing carbon capture technology [11][12] - The project aims for commercial operations by 2028, with a focus on meeting market demand for clean firm power [12] Group 8: Vistra Corp. Developments - Vistra Corp. plans to invest over $1 billion in new natural gas-fired generation capacity in Texas, targeting 860 MW from two new units [13] - The company aims to add more than 2,000 MW of new capacity in ERCOT between 2024 and 2028 [13] - Vistra is also repurposing the coal-fired Coleto Creek Power Plant to natural gas, restoring approximately 630 MW of generation to the grid [14] Group 9: Duke Energy's Expansion Plans - Duke Energy is proposing a $3.2 billion natural gas-fired plant in South Carolina, with a capacity of 1,400 MW [14] - The company plans to add about 9.7 GW of natural gas-fired generation capacity by 2033 across North and South Carolina [14]

Group 1 - Goldman Sachs initiated a buy rating on Biohaven (NYSE: BVHN) with a price target of $23 per share, indicating a potential upside of about 98% due to its IgAN treatment targeting a market exceeding $40 billion in the U.S. [1] - Vistra Energy (NYSE: VST) is recommended for purchase following its deal with Meta, which increased Goldman Sachs' 2027 EBITDA estimates by 5%, with a price target set at $205 [1]. - Goldman Sachs has a buy rating on Nvidia (NASDAQ: NVDA) with a price target of $250, expecting a revenue surprise of $2 billion in the upcoming earnings report on February 25 [1]. Group 2 - Biohaven is a clinical-stage biotechnology company focusing on late-stage programs in inflammation and immunology, epilepsy, and obesity, with BHV-1400 in IgA nephropathy viewed as a key driver for stock performance [1]. - The Meta deal for Vistra Energy signifies the company's ability to secure substantial Power Purchase Agreements (PPAs) despite ongoing policy uncertainties [1]. - Nvidia is anticipated to outperform bottom-line numbers, with expectations for increased data center guidance and growing demand for GPUs and AI [1].

Group 1 - Vistra Corp. confirmed the closing of a $2.25 billion private offering, which includes $1 billion in 4.700% senior secured notes due 2031 and $1.25 billion in 5.350% notes due 2036 [1][2] - The net proceeds from the offering will be used to finance the acquisition of Cogentrix Energy, which is a $4.7 billion deal involving 10 natural gas-fired power plants, adding 5,500 megawatts of net capacity [2][3] - UBS has reiterated a Buy rating on Vistra's stock and raised the price target from $230 to $233, reflecting the company's secured power purchase agreements for its nuclear assets with Meta Platforms [3] Group 2 - Vistra Corp. operates as a competitive energy provider across 20 states and the District of Columbia, focusing on both electricity generation and direct sales to consumers [4]

Industry Overview - The Zacks Utility-Electric Power industry presents an attractive investment case due to stable cash flows and predictable earnings from regulated business models [1] - The industry is transforming with a global push for decarbonization, leading to increased investments in renewables like solar, wind, and battery storage [2] Company Analysis: Vistra Corp. (VST) - Vistra offers a strong investment case with a diversified generation mix, including natural gas, nuclear, solar, and battery storage, providing stable, carbon-free baseload power [4] - The Zacks Consensus Estimate for Vistra's earnings per share indicates a year-over-year increase of 67.71% for 2026, with long-term growth projected at 18.89% [7][11] - Vistra's return on equity (ROE) is 64.04%, significantly higher than the industry average of 10.7% [11][13] - Vistra is trading at a lower P/E of 18.3X compared to PEG's 18.68X, indicating better value [11][15] Company Analysis: Public Service Enterprise Group Inc. (PEG) - Public Service Enterprise Group presents a solid investment case with regulated utility operations and a strong carbon-free nuclear portfolio [5] - The Zacks Consensus Estimate for PEG's earnings per share implies a year-over-year increase of 8.64% for 2026, with long-term growth projected at 7.05% [10] - PEG's debt-to-capital ratio is 57.88%, lower than Vistra's 75.38%, indicating a more conservative approach to financing [18] Dividend Analysis - PEG has a dividend yield of 3.09%, significantly higher than Vistra's 0.55% and the S&P 500's 1.36%, reflecting stronger cash flow and financial health [20] Summary Comparison - Both Vistra and Public Service Enterprise Group are effectively serving customers and expanding clean power generation assets [21] - Vistra has an edge due to stronger earnings estimates, cheaper valuation, and better ROE, despite PEG's lower debt levels [21]

Core Viewpoint - Vistra Corp. is set to report its earnings on February 26, 2026, with expectations of significant growth in EPS and revenue compared to the previous year [2]. Financial Performance - In the latest trading session, Vistra Corp. closed at $162.58, reflecting a -1.85% change from the previous day, underperforming the S&P 500's daily loss of 0.13% [1]. - Over the past month, shares of Vistra Corp. have increased by 2.67%, outperforming the Utilities sector's gain of 1.04% and the S&P 500's gain of 0.78% [1]. - The upcoming earnings report is forecasted to show an EPS of $2.45, representing a 114.91% increase year-over-year, and revenue is expected to reach $5.27 billion, a 30.66% increase from the same quarter last year [2]. Annual Estimates - For the entire year, the Zacks Consensus Estimates predict earnings of $5.21 per share and revenue of $18.97 billion, indicating a -25.57% change in earnings and no change in revenue compared to the previous year [3]. Analyst Estimates - Changes in analyst estimates for Vistra Corp. are important as they reflect short-term business trends, with positive revisions indicating optimism about the company's outlook [4]. - The Zacks Rank system, which incorporates these estimate changes, currently ranks Vistra Corp. at 3 (Hold) [6]. Valuation Metrics - Vistra Corp. has a Forward P/E ratio of 18.97, which is higher than the industry average of 17.9 [6]. - The company has a PEG ratio of 1, compared to the Utility - Electric Power industry's average PEG ratio of 2.59 [7]. Industry Context - The Utility - Electric Power industry holds a Zacks Industry Rank of 83, placing it in the top 34% of over 250 industries [7]. - Historically, the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8].

Core Insights - Vistra Corp's recent acquisitions are expected to drive sustained growth over the next few years, with projected EBITDA exceeding $7.4 billion by 2027 [1] Group 1: Financial Performance - The company anticipates a significant increase in EBITDA, reaching above $7.4 billion by 2027 [1] Group 2: Strategic Positioning - The acquisitions made by Vistra Corp are positioned to ensure long-term growth and stability in the market [1]

Core Viewpoint - Vistra Corp. (VST) has experienced significant share price gains and volatility recently, indicating strong market interest and activity in the utility sector [1]. Group 1: Company Performance - Vistra Corp. has been characterized by substantial share price increases, reflecting a robust performance in the utility industry [1]. - The company has also faced a recent pullback in its stock price, suggesting fluctuations in investor sentiment [1]. Group 2: Market Activity - The utility sector, particularly companies like Vistra Corp., has been active with notable volatility, which may present both opportunities and challenges for investors [1].

Group 1 - The article introduces Luciano Rahal as a new contributing analyst for Seeking Alpha, encouraging others to share investment ideas and get published [1] - The finance student from Texas A&M University focuses on financial markets and fundamental equity research, emphasizing long-term value creation [2] - The research approach prioritizes understanding cash flow generation, management's capital allocation strategies, and market expectations versus economic reality [2] Group 2 - The analyst expresses a beneficial long position in VST shares, indicating personal investment interest [3] - Seeking Alpha clarifies that past performance does not guarantee future results and that the views expressed may not reflect the platform's overall stance [4]

Core Insights - Bridgewater Associates significantly reduced its stake in Vistra Corp by nearly 59%, decreasing its shares from 817,614 to 338,335, which amounts to a reduction of 479,279 shares, leaving a value of approximately $66.3 million in Vistra stock, representing 0.26% of its total portfolio [1] Group 1: Stock Performance and Market Dynamics - Vistra's stock experienced a remarkable increase of over 650% over three years, driven by rising electricity demand from AI data centers, but subsequently pulled back about 25% from its September highs to $164 [2] - The volatility in Vistra's stock price throughout 2025, despite strong fundamentals, may have influenced Bridgewater's decision to trim its position [4] Group 2: Company Strategy and Growth - Vistra is focusing on growth, particularly through its nuclear power capacity, owning the second-largest fleet of nuclear plants in the U.S. [6] - The company secured a significant 20-year agreement with Meta Platforms to supply 2,600 megawatts of carbon-free nuclear power, which CEO Jim Burke described as a "major milestone" [6] - Vistra has been actively acquiring assets, including seven natural gas plants from Lotus Infrastructure Partners for $1.9 billion, adding approximately 2,600 megawatts of capacity across multiple regions [9] Group 3: Valuation Considerations - Vistra's valuation peaked at nearly 37 times earnings, which is considered expensive even for a company benefiting from the AI infrastructure boom, prompting profit-taking among investors [7]