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Vistra Energy Corp. (VST) Outpaces Stock Market Gains: What You Should Know

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Vistra Energy Corp. (VST - Free Report) closed the most recent trading day at $19.62, moving +1.13% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.29%. Elsewhere, the Dow lost 0.24%, while the tech-heavy Nasdaq added 0.28%.

Coming into today, shares of the company had lost 4.39% in the past month. In that same time, the Utilities sector lost 2.12%, while the S&P 500 gained 2.96%.

VST will be looking to display strength as it nears its next earnings release, which is expected to be August 5, 2020. The company is expected to report EPS of $0.31, down 55.71% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.41 per share and revenue of $13.57 billion. These totals would mark changes of +64.73% and +14.93%, respectively, from last year.

Any recent changes to analyst estimates for VST should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 29.91% higher. VST currently has a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that VST has a Forward P/E ratio of 5.69 right now. Its industry sports an average Forward P/E of 17.76, so we one might conclude that VST is trading at a discount comparatively.

Meanwhile, VST's PEG ratio is currently 0.3. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Utility - Electric Power was holding an average PEG ratio of 3.6 at yesterday's closing price.

The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 108, which puts it in the top 43% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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