NRG Energy Inc. (NRG)vsXcel Energy Inc (XEL)
NRG
NRG Energy Inc.
$155.58
+4.41%
UTILITIES · Cap: $31.65B
XEL
Xcel Energy Inc
$82.95
+5.24%
UTILITIES · Cap: $49.20B
Smart Verdict
WallStSmart Research — data-driven comparison
NRG Energy Inc. generates 109% more annual revenue ($30.71B vs $14.67B). XEL leads profitability with a 13.8% profit margin vs 2.8%. NRG appears more attractively valued with a PEG of 1.37. XEL earns a higher WallStSmart Score of 62/100 (C+).
NRG
Buy54
out of 100
Grade: C-
XEL
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+59.0%
Fair Value
$391.91
Current Price
$155.58
$236.33 discount
Intrinsic value data unavailable for XEL.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 42 in profit
Reasonable price relative to book value
Earnings expanding 20.8% YoY
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
Elevated debt levels
Weak financial health signals
Negative free cash flow — burning cash
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 1.37 suggests the stock is reasonably priced for its growth.
Bull Case : XEL
The strongest argument for XEL centers on Price/Book, EPS Growth. Revenue growth of 14.1% 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 : XEL
The primary concerns for XEL are PEG Ratio, Debt/Equity, Piotroski F-Score.
Key Dynamics to Monitor
NRG carries more volatility with a beta of 1.34 — expect wider price swings.
XEL is growing revenue faster at 14.1% — sustainability is the question.
NRG generates stronger free cash flow (-175M), providing more financial flexibility.
Monitor UTILITIES - INDEPENDENT POWER PRODUCERS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
XEL scores higher overall (62/100 vs 54/100) and 14.1% revenue growth. NRG offers better value entry with a 59.0% margin of safety. 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.
Xcel Energy Inc
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Xcel Energy Inc. is a utility holding company based in Minneapolis, Minnesota, serving more than 3.7 million electric customers and 2.1 million natural gas customers in Minnesota, Michigan, Wisconsin, North Dakota, South Dakota, Colorado, Texas, and New Mexico as of 2019. It consists of four operating subsidiaries: Northern States Power-Minnesota, Northern States Power-Wisconsin, Public Service Company of Colorado, and Southwestern Public Service Co.
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