WallStSmart

NRG Energy Inc. (NRG)vsPG&E Corp (PCG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NRG Energy Inc. generates 28% more annual revenue ($33.12B vs $25.84B). PCG leads profitability with a 11.8% profit margin vs 2.6%. NRG appears more attractively valued with a PEG of 0.46. PCG earns a higher WallStSmart Score of 76/100 (B+).

NRG

Buy

60

out of 100

Grade: C+

Growth: 3.3Profit: 6.0Value: 6.3Quality: 4.0
Piotroski: 4/9Altman Z: 1.61

PCG

Strong Buy

76

out of 100

Grade: B+

Growth: 6.0Profit: 6.0Value: 7.3Quality: 3.5
Piotroski: 2/9Altman Z: 0.47
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for NRG.

PCGOvervalued (-14.1%)

Margin of Safety

-14.1%

Fair Value

$12.44

Current Price

$13.80

$1.36 premium

UndervaluedFair: $12.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NRG1 strengths · Avg: 10.0/10
PEG RatioValuation
0.4610/10

Growing faster than its price suggests

PCG5 strengths · Avg: 8.8/10
P/E RatioValuation
10.7x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

PEG RatioValuation
0.608/10

Growing faster than its price suggests

Operating MarginProfitability
24.8%8/10

Strong operational efficiency at 24.8%

EPS GrowthGrowth
39.8%8/10

Earnings expanding 39.8% YoY

Areas to Watch

NRG4 concerns · Avg: 3.3/10
P/E RatioValuation
31.2x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.614/10

Distress zone — elevated risk

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

EPS GrowthGrowth
-85.6%2/10

Earnings declined 85.6%

PCG4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

Debt/EquityHealth
1.913/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-2.06B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : NRG

The strongest argument for NRG centers on PEG Ratio. Revenue growth of 11.0% demonstrates continued momentum. PEG of 0.46 suggests the stock is reasonably priced for its growth.

Bull Case : PCG

The strongest argument for PCG centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.60 suggests the stock is reasonably priced for its growth.

Bear Case : NRG

The primary concerns for NRG are P/E Ratio, Altman Z-Score, Profit Margin. Debt-to-equity of 4.83 is elevated, increasing financial risk. Thin 2.6% margins leave little buffer for downturns.

Bear Case : PCG

The primary concerns for PCG are Revenue Growth, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.91 is elevated, increasing financial risk.

Key Dynamics to Monitor

NRG carries more volatility with a beta of 1.17 — expect wider price swings.

NRG is growing revenue faster at 11.0% — sustainability is the question.

NRG generates stronger free cash flow (779M), providing more financial flexibility.

Monitor UTILITIES - INDEPENDENT POWER PRODUCERS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PCG scores higher overall (76/100 vs 60/100). Both earn "Strong 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.

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.

PG&E Corp

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

PG&E Corporation, through its subsidiary, Pacific Gas and Electric Company, is engaged in the sale and delivery of electricity and natural gas to customers in northern and central California, United States. The company is headquartered in San Francisco, California.

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