WallStSmart

NewJersey Resources Corporation (NJR)vsNRG Energy Inc. (NRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NRG Energy Inc. generates 1386% more annual revenue ($32.38B vs $2.18B). NJR leads profitability with a 15.7% profit margin vs 0.7%. NRG appears more attractively valued with a PEG of 0.43. NJR earns a higher WallStSmart Score of 61/100 (C+).

NJR

Buy

61

out of 100

Grade: C+

Growth: 4.0Profit: 7.5Value: 4.7Quality: 4.0
Piotroski: 4/9Altman Z: 1.02

NRG

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 4.0Value: 5.7Quality: 4.0
Piotroski: 4/9Altman Z: 1.61
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NJRSignificantly Overvalued (-68.6%)

Margin of Safety

-68.6%

Fair Value

$31.35

Current Price

$55.41

$24.06 premium

UndervaluedFair: $31.35Overvalued

Intrinsic value data unavailable for NRG.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NJR3 strengths · Avg: 8.7/10
Operating MarginProfitability
32.0%10/10

Strong operational efficiency at 32.0%

P/E RatioValuation
16.4x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

NRG2 strengths · Avg: 9.0/10
PEG RatioValuation
0.4310/10

Growing faster than its price suggests

Revenue GrowthGrowth
19.5%8/10

19.5% revenue growth

Areas to Watch

NJR4 concerns · Avg: 3.3/10
PEG RatioValuation
2.104/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

Debt/EquityHealth
1.423/10

Elevated debt levels

Altman Z-ScoreHealth
1.022/10

Distress zone — elevated risk

NRG4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.614/10

Distress zone — elevated risk

Return on EquityProfitability
4.9%3/10

ROE of 4.9% — 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 : NJR

The strongest argument for NJR centers on Operating Margin, P/E Ratio, Price/Book. Profitability is solid with margins at 15.7% and operating margin at 32.0%.

Bull Case : NRG

The strongest argument for NRG centers on PEG Ratio, Revenue Growth. Revenue growth of 19.5% demonstrates continued momentum. PEG of 0.43 suggests the stock is reasonably priced for its growth.

Bear Case : NJR

The primary concerns for NJR are PEG Ratio, Revenue Growth, Debt/Equity.

Bear Case : NRG

The primary concerns for NRG are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 136.4x leaves little room for execution misses. Debt-to-equity of 4.79 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

NRG carries more volatility with a beta of 1.22 — expect wider price swings.

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

NJR generates stronger free cash flow (366M), providing more financial flexibility.

Bottom Line

NJR scores higher overall (61/100 vs 51/100), backed by strong 15.7% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

NewJersey Resources Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

New Jersey Resources Corporation, an energy services portfolio company, provides regulated gas distribution and retail and wholesale energy services. The company is headquartered in Wall, New Jersey.

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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