WallStSmart

Entergy Corporation (ETR)vsNRG Energy Inc. (NRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NRG Energy Inc. generates 144% more annual revenue ($32.38B vs $13.29B). ETR leads profitability with a 13.4% profit margin vs 0.7%. NRG appears more attractively valued with a PEG of 1.23. ETR earns a higher WallStSmart Score of 53/100 (C-).

ETR

Buy

53

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 4.0Quality: 3.8
Piotroski: 4/9Altman Z: 0.80

NRG

Hold

49

out of 100

Grade: D+

Growth: 4.0Profit: 4.0Value: 6.0Quality: 5.3
Piotroski: 5/9Altman Z: 1.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ETRSignificantly Overvalued (-33.1%)

Margin of Safety

-33.1%

Fair Value

$75.27

Current Price

$112.97

$37.70 premium

UndervaluedFair: $75.27Overvalued
NRGUndervalued (+61.4%)

Margin of Safety

+61.4%

Fair Value

$415.95

Current Price

$137.30

$278.65 discount

UndervaluedFair: $415.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ETR1 strengths · Avg: 9.0/10
Market CapQuality
$53.45B9/10

Large-cap with strong market position

NRG1 strengths · Avg: 8.0/10
Revenue GrowthGrowth
19.5%8/10

19.5% revenue growth

Areas to Watch

ETR4 concerns · Avg: 3.5/10
PEG RatioValuation
2.324/10

Expensive relative to growth rate

P/E RatioValuation
28.6x4/10

Moderate valuation

EPS GrowthGrowth
1.2%4/10

1.2% earnings growth

Free Cash FlowQuality
$-1.42B2/10

Negative free cash flow — burning cash

NRG4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.704/10

Distress zone — elevated risk

Return on EquityProfitability
6.3%3/10

ROE of 6.3% — below average capital efficiency

Profit MarginProfitability
0.7%3/10

0.7% margin — thin

Operating MarginProfitability
3.6%3/10

Operating margin of 3.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : ETR

The strongest argument for ETR centers on Market Cap. Revenue growth of 12.0% demonstrates continued momentum.

Bull Case : NRG

The strongest argument for NRG centers on Revenue Growth. Revenue growth of 19.5% demonstrates continued momentum. PEG of 1.23 suggests the stock is reasonably priced for its growth.

Bear Case : ETR

The primary concerns for ETR are PEG Ratio, P/E Ratio, EPS Growth.

Bear Case : NRG

The primary concerns for NRG are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 150.9x leaves little room for execution misses. Thin 0.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

ETR profiles as a value stock while NRG is a growth play — different risk/reward profiles.

NRG carries more volatility with a beta of 1.31 — expect wider price swings.

NRG is growing revenue faster at 19.5% — sustainability is the question.

NRG generates stronger free cash flow (-486M), providing more financial flexibility.

Bottom Line

ETR scores higher overall (53/100 vs 49/100) and 12.0% revenue growth. NRG offers better value entry with a 61.4% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Entergy Corporation

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Entergy Corporation is a Fortune 500 integrated energy company engaged primarily in electric power production and retail distribution operations in the Deep South of the United States.

NRG Energy Inc.

UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA

NRG Energy, Inc. is a large American energy company, headquartered in Houston, Texas. It was formerly the wholesale arm of Northern States Power Company (NSP), which became Xcel Energy, but became independent in 2000. NRG Energy is involved in energy generation and retail electricity.

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