NRG Energy Inc. (NRG)vsTeradyne Inc (TER)
NRG
NRG Energy Inc.
$151.04
-0.06%
UTILITIES · Cap: $32.08B
TER
Teradyne Inc
$323.36
+1.01%
TECHNOLOGY · Cap: $50.12B
Smart Verdict
WallStSmart Research — data-driven comparison
NRG Energy Inc. generates 863% more annual revenue ($30.71B vs $3.19B). TER leads profitability with a 17.4% profit margin vs 2.8%. NRG appears more attractively valued with a PEG of 1.29. TER earns a higher WallStSmart Score of 70/100 (B).
NRG
Buy54
out of 100
Grade: C-
TER
Strong Buy70
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-490.6%
Fair Value
$27.20
Current Price
$151.04
$123.84 premium
Margin of Safety
-98.5%
Fair Value
$161.93
Current Price
$323.36
$161.43 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 42 in profit
Strong operational efficiency at 30.3%
Revenue surging 43.9% year-over-year
Earnings expanding 81.4% YoY
Large-cap with strong market position
Conservative balance sheet, low leverage
Areas to Watch
Premium valuation, high expectations priced in
Distress zone — elevated risk
2.8% margin — thin
Operating margin of 4.3%
Expensive relative to growth rate
Trading at 18.1x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : NRG
The strongest argument for NRG centers on Return on Equity. Revenue growth of 13.7% demonstrates continued momentum. PEG of 1.29 suggests the stock is reasonably priced for its growth.
Bull Case : TER
The strongest argument for TER centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 17.4% and operating margin at 30.3%. Revenue growth of 43.9% demonstrates continued momentum.
Bear Case : NRG
The primary concerns for NRG are P/E Ratio, Altman Z-Score, Profit Margin. Thin 2.8% margins leave little buffer for downturns.
Bear Case : TER
The primary concerns for TER are PEG Ratio, Price/Book, P/E Ratio. A P/E of 92.5x leaves little room for execution misses.
Key Dynamics to Monitor
NRG profiles as a value stock while TER is a growth play — different risk/reward profiles.
TER carries more volatility with a beta of 1.80 — expect wider price swings.
TER is growing revenue faster at 43.9% — sustainability is the question.
TER generates stronger free cash flow (219M), providing more financial flexibility.
Bottom Line
TER scores higher overall (70/100 vs 54/100), backed by strong 17.4% margins and 43.9% revenue growth. 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.
Teradyne Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Teradyne, Inc. is an American automatic test equipment (ATE) designer and manufacturer based in North Reading, Massachusetts.
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