WallStSmart

NRG Energy Inc. (NRG)vsTrane Technologies plc (TT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NRG Energy Inc. generates 42% more annual revenue ($30.71B vs $21.60B). TT leads profitability with a 13.4% profit margin vs 2.8%. NRG appears more attractively valued with a PEG of 1.36. NRG earns a higher WallStSmart Score of 54/100 (C-).

NRG

Buy

54

out of 100

Grade: C-

Growth: 3.3Profit: 6.0Value: 6.7Quality: 5.3
Piotroski: 5/9Altman Z: 1.70

TT

Buy

52

out of 100

Grade: C-

Growth: 5.3Profit: 8.0Value: 4.3Quality: 5.5
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NRGUndervalued (+59.0%)

Margin of Safety

+59.0%

Fair Value

$391.91

Current Price

$150.64

$241.27 discount

UndervaluedFair: $391.91Overvalued

Intrinsic value data unavailable for TT.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NRG1 strengths · Avg: 10.0/10
Return on EquityProfitability
41.5%10/10

Every $100 of equity generates 42 in profit

TT2 strengths · Avg: 9.5/10
Return on EquityProfitability
36.6%10/10

Every $100 of equity generates 37 in profit

Market CapQuality
$107.57B9/10

Large-cap with strong market position

Areas to Watch

NRG4 concerns · Avg: 3.5/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.704/10

Distress zone — elevated risk

Profit MarginProfitability
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
4.3%3/10

Operating margin of 4.3%

TT4 concerns · Avg: 3.5/10
PEG RatioValuation
2.394/10

Expensive relative to growth rate

P/E RatioValuation
37.2x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.6x4/10

Trading at 12.6x book value

EPS GrowthGrowth
-2.1%2/10

Earnings declined 2.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : NRG

The strongest argument for NRG centers on Return on Equity. Revenue growth of 13.7% demonstrates continued momentum. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bull Case : TT

The strongest argument for TT centers on Return on Equity, Market Cap.

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 : TT

The primary concerns for TT are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

NRG carries more volatility with a beta of 1.34 — expect wider price swings.

NRG is growing revenue faster at 13.7% — sustainability is the question.

TT generates stronger free cash flow (542M), providing more financial flexibility.

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

Bottom Line

NRG scores higher overall (54/100 vs 52/100) and 13.7% revenue growth. 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.

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.

Trane Technologies plc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

Trane Technologies plc is an American Irish domiciled diversified industrial manufacturing company. It is headquartered near Dublin, Ireland.

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