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Vistra Q1 Earnings Beat Estimates as Hedging Fortifies Visibility
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Key Takeaways
VST's Q1 EPS hit $2.87 and sales $5.64B, beating estimates by 29.9% and 3.54%.
VST cited higher realized capacity prices and Lotus-acquired plants; it hedged ~98% of 2026 volumes.
VST's $4B Cogentrix deal adds 10 gas plants (5,500 MW); it returned $600M via dividends and buybacks.
Vistra Corp. (VST - Free Report) reported first-quarter 2026 earnings of $2.87 per share, which surpassed the Zacks Consensus Estimate of $2.21 by 29.9%. The bottom line increased a whopping 523.9% from 46 cents in the year-ago quarter.
The year-over-year increase in earnings per share was driven by higher realized capacity prices and contributions from the plants acquired through the Lotus acquisition for the full three-month period.
Total Revenues of VST
Sales for the quarter totaled $5.64 billion, which beat the Zacks Consensus Estimate of nearly $5.45 billion by 3.54%. Moreover, the top line rose 43.4% from $3.93 billion recorded in the year-ago quarter.
Fuel, purchased power costs and delivery fees for the year amounted to $2.53 billion, up 3.4% from last year’s $2.45 billion.
Operating costs for the year totaled $0.7 billion, up 1% from last year’s $0.69 billion.
Selling, general and administrative expenses amounted to $0.42 billion, up 9.2% from last year’s $0.39 billion.
Operating income totaled nearly $1.5 billion against an operating loss of $0.1 billion a year ago.
Interest expenses and related charges came in at $0.26 billion, down 17.6% from last year.
As of May 1, 2026, Vistra hedged nearly 98% of its expected generation volumes for 2026, around 89% for 2027 and about 65% for 2028.
On Jan. 5, 2026, Vistra announced that it had signed agreements to acquire Cogentrix Energy, adding 10 modern natural gas plants totaling 5,500 MW across PJM, ISO New England and ERCOT. The $4 billion deal, financed with cash, stock to Quantum Capital Group funds and assumed debt (net of tax benefits), values the portfolio at 7.25x expected 2027 adjusted EBITDA or $730 per kW. Management expects the acquisition to boost earnings per share by mid-single digits in 2027 and high-single digits on average from the 2027-2029 period, driven by strong cash generation.
VST’s Financial Highlights
Cash and cash equivalents totaled $0.63 billion as of March 31, 2026, compared with $0.79 billion as of Dec. 31, 2025.
Net cash flow provided by operating activities in the first three months of 2026 was $1.2 billion compared with $0.6 billion last year.
Total capital expenditures for first-quarter 2026 were $0.88 billion compared with $0.77 billion recorded a year ago.
The available liquidity of the company as of March 31, 2026, was $4.17 billion, enough to meet its near-term obligations.
In the first quarter of 2026, the company returned $600 million to its shareholders through dividends and share buybacks. Vistra has $1.5 billion of the share repurchase authorization available, which it expects to complete by year-end 2027. Subject to approval of its board of directors, the company is targeting at least $1 billion in share repurchases and $300 million in common dividends annually.
VST’s Guidance
For 2026, VST reiterated its ongoing operations adjusted EBITDA and ongoing operations adjusted free cash flow before growth to be in the band of $7.4-$7.8 billion and $3.925-$4.725 billion, respectively.
Duke Energy Corporation's (DUK - Free Report) first-quarter 2026 earnings of $1.93 per share surpassed the Zacks Consensus Estimate of $1.79 by 7.6%. The bottom line increased 9.7% from $1.76 reported in the year-ago quarter.
Total operating revenues were $9.18 billion, which beat the Zacks Consensus Estimate of $8.4 billion by 9%. The top line increased 11.3% from $8.25 billion in the year-ago period.
The Southern Company (SO - Free Report) delivered adjusted earnings per share of $1.32 in the first quarter of 2026, up 7.3% from $1.23 a year ago. The figure topped the Zacks Consensus Estimate of $1.21 by 9.1%.
Total operating revenues were $8.39 billion, which beat the Zacks Consensus Estimate of $8.09 billion by 3.81%. The top line increased 8% from $7.78 billion in the year-ago period.
NextEra Energy (NEE - Free Report) reported first-quarter 2026 results with adjusted earnings per share of $1.09, up 10.1% from 99 cents a year ago. The figure beat the Zacks Consensus Estimate of 98 cents per share by 11.2%. Strong contributions from both Florida Power & Light and NextEra Energy Resources allowed the company to surpass expectations.
Total operating revenues were $6.70 billion, up 7.3% year over year but below the Zacks Consensus Estimate of $7.20 billion by 7%. A key highlight was NextEra Energy Resources’ record renewables and storage origination, which added 4 gigawatts to backlog.
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Vistra Q1 Earnings Beat Estimates as Hedging Fortifies Visibility
Key Takeaways
Vistra Corp. (VST - Free Report) reported first-quarter 2026 earnings of $2.87 per share, which surpassed the Zacks Consensus Estimate of $2.21 by 29.9%. The bottom line increased a whopping 523.9% from 46 cents in the year-ago quarter.
The year-over-year increase in earnings per share was driven by higher realized capacity prices and contributions from the plants acquired through the Lotus acquisition for the full three-month period.
Total Revenues of VST
Sales for the quarter totaled $5.64 billion, which beat the Zacks Consensus Estimate of nearly $5.45 billion by 3.54%. Moreover, the top line rose 43.4% from $3.93 billion recorded in the year-ago quarter.
Vistra Corp. Price, Consensus and EPS Surprise
Vistra Corp. price-consensus-eps-surprise-chart | Vistra Corp. Quote
VST’s Operational Highlights
Fuel, purchased power costs and delivery fees for the year amounted to $2.53 billion, up 3.4% from last year’s $2.45 billion.
Operating costs for the year totaled $0.7 billion, up 1% from last year’s $0.69 billion.
Selling, general and administrative expenses amounted to $0.42 billion, up 9.2% from last year’s $0.39 billion.
Operating income totaled nearly $1.5 billion against an operating loss of $0.1 billion a year ago.
Interest expenses and related charges came in at $0.26 billion, down 17.6% from last year.
As of May 1, 2026, Vistra hedged nearly 98% of its expected generation volumes for 2026, around 89% for 2027 and about 65% for 2028.
On Jan. 5, 2026, Vistra announced that it had signed agreements to acquire Cogentrix Energy, adding 10 modern natural gas plants totaling 5,500 MW across PJM, ISO New England and ERCOT. The $4 billion deal, financed with cash, stock to Quantum Capital Group funds and assumed debt (net of tax benefits), values the portfolio at 7.25x expected 2027 adjusted EBITDA or $730 per kW. Management expects the acquisition to boost earnings per share by mid-single digits in 2027 and high-single digits on average from the 2027-2029 period, driven by strong cash generation.
VST’s Financial Highlights
Cash and cash equivalents totaled $0.63 billion as of March 31, 2026, compared with $0.79 billion as of Dec. 31, 2025.
Net cash flow provided by operating activities in the first three months of 2026 was $1.2 billion compared with $0.6 billion last year.
Total capital expenditures for first-quarter 2026 were $0.88 billion compared with $0.77 billion recorded a year ago.
The available liquidity of the company as of March 31, 2026, was $4.17 billion, enough to meet its near-term obligations.
In the first quarter of 2026, the company returned $600 million to its shareholders through dividends and share buybacks. Vistra has $1.5 billion of the share repurchase authorization available, which it expects to complete by year-end 2027. Subject to approval of its board of directors, the company is targeting at least $1 billion in share repurchases and $300 million in common dividends annually.
VST’s Guidance
For 2026, VST reiterated its ongoing operations adjusted EBITDA and ongoing operations adjusted free cash flow before growth to be in the band of $7.4-$7.8 billion and $3.925-$4.725 billion, respectively.
VST’s Zacks Rank
The company currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Releases
Duke Energy Corporation's (DUK - Free Report) first-quarter 2026 earnings of $1.93 per share surpassed the Zacks Consensus Estimate of $1.79 by 7.6%. The bottom line increased 9.7% from $1.76 reported in the year-ago quarter.
Total operating revenues were $9.18 billion, which beat the Zacks Consensus Estimate of $8.4 billion by 9%. The top line increased 11.3% from $8.25 billion in the year-ago period.
The Southern Company (SO - Free Report) delivered adjusted earnings per share of $1.32 in the first quarter of 2026, up 7.3% from $1.23 a year ago. The figure topped the Zacks Consensus Estimate of $1.21 by 9.1%.
Total operating revenues were $8.39 billion, which beat the Zacks Consensus Estimate of $8.09 billion by 3.81%. The top line increased 8% from $7.78 billion in the year-ago period.
NextEra Energy (NEE - Free Report) reported first-quarter 2026 results with adjusted earnings per share of $1.09, up 10.1% from 99 cents a year ago. The figure beat the Zacks Consensus Estimate of 98 cents per share by 11.2%. Strong contributions from both Florida Power & Light and NextEra Energy Resources allowed the company to surpass expectations.
Total operating revenues were $6.70 billion, up 7.3% year over year but below the Zacks Consensus Estimate of $7.20 billion by 7%. A key highlight was NextEra Energy Resources’ record renewables and storage origination, which added 4 gigawatts to backlog.