NRG Energy Inc. (NRG)vsWells Fargo & Company (WFC)
NRG
NRG Energy Inc.
$138.11
-2.64%
UTILITIES · Cap: $30.18B
WFC
Wells Fargo & Company
$75.64
-3.88%
FINANCIAL SERVICES · Cap: $242.24B
Smart Verdict
WallStSmart Research — data-driven comparison
Wells Fargo & Company generates 164% more annual revenue ($81.14B vs $30.71B). WFC leads profitability with a 26.7% profit margin vs 2.8%. NRG appears more attractively valued with a PEG of 1.34. WFC earns a higher WallStSmart Score of 74/100 (B).
NRG
Buy56
out of 100
Grade: C
WFC
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+58.9%
Fair Value
$391.20
Current Price
$138.11
$253.09 discount
Intrinsic value data unavailable for WFC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 42 in profit
Mega-cap, among the largest globally
Reasonable price relative to book value
Keeps 27 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 29.4%
Generating 9.1B in free cash flow
Areas to Watch
Distress zone — elevated risk
2.8% margin — thin
Operating margin of 4.3%
Premium valuation, high expectations priced in
Distress zone — elevated risk
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 1.34 suggests the stock is reasonably priced for its growth.
Bull Case : WFC
The strongest argument for WFC centers on Market Cap, Price/Book, Profit Margin. Profitability is solid with margins at 26.7% and operating margin at 29.4%. PEG of 1.43 suggests the stock is reasonably priced for its growth.
Bear Case : NRG
The primary concerns for NRG are Altman Z-Score, Profit Margin, Operating Margin. A P/E of 157.6x leaves little room for execution misses. Thin 2.8% margins leave little buffer for downturns.
Bear Case : WFC
The primary concerns for WFC are Altman Z-Score.
Key Dynamics to Monitor
NRG profiles as a value stock while WFC is a mature 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 13.7% — sustainability is the question.
WFC generates stronger free cash flow (9.1B), providing more financial flexibility.
Bottom Line
WFC scores higher overall (74/100 vs 56/100), backed by strong 26.7% margins. NRG offers better value entry with a 58.9% margin of safety. 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.
Wells Fargo & Company
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.
Compare with Other UTILITIES - INDEPENDENT POWER PRODUCERS Stocks
Want to dig deeper into these stocks?