Vistra (NYSE: VST) Shares Rise 1.2% - Is It Time to Buy?

Shares of Vistra Corp. (NYSE: VST) increased by 1.2% on Monday, reaching a trading high of $170.45 before settling at $167.59. During the day, approximately 5,707,110 shares changed hands, which reflects a decrease of 45% compared to the average daily trading volume of 10,342,942 shares. The stock had closed the previous day at $165.65.

Analysts Predict Positive Growth

Several brokerage firms have recently expressed their opinions on Vistra’s stock. Evercore ISI launched coverage on Vistra, recommending an "outperform" rating along with a price target of $202.00. Meanwhile, UBS Group adjusted their target from $161.00 to $174.00, also indicating a "buy" rating on January 3rd. Morgan Stanley raised their target from $135.00 to $169.00, rating the company as "overweight" on November 22nd. BMO Capital Markets increased their price target from $151.00 to $191.00, maintaining an "outperform" rating as of January 22nd. Additionally, Bank of America initiated coverage on Vistra on January 27th, providing a "neutral" rating and a target of $206.00. In total, one investment analyst has rated the stock as a hold, while ten have given it a buy rating. MarketBeat reports that Vistra currently holds a consensus rating of "Moderate Buy" with an average price target of $171.64.

Vistra Stock Overview

The company’s 50-day moving average stands at $158.32, while its 200-day moving average is at $129.55. Vistra has a market capitalization of $57.02 billion, a price-to-earnings ratio of 31.27, and a PEG ratio of 1.17. The company exhibits a beta of 1.22, alongside a high debt-to-equity ratio of 4.68. Its quick and current ratios are 0.99 and 1.11, respectively.

Recently, Vistra announced that its Board of Directors authorized a stock buyback program on November 7th, allowing for the repurchase of up to $1.00 billion in shares. This program enables the company to buy back approximately 2.1% of its outstanding shares through open market transactions. Such initiatives often indicate that the board considers the company's stock to be undervalued.

Insider Trading Activity

In other company developments, Executive Vice President Stephen J. Muscato sold 207,100 shares of Vistra's stock on November 22nd at an average price of $161.34, totaling about $33.41 million. Post-transaction, he retains 318,287 shares valued at roughly $51.35 million, marking a decrease of 39.42% in his holdings. This transaction was disclosed in a filing with the SEC. Additionally, Director Scott B. Helm sold 20,000 shares on December 10th at an average price of $139.77, resulting in a total transaction value of $2.80 million. Following this sale, Helm owns 343,350 shares valued at around $47.99 million, reflecting a 5.50% decrease in his shareholding. In the last quarter, insiders have sold a total of 342,100 shares valued at approximately $55.09 million. Corporate insiders currently hold 1.42% of Vistra's stock.

Institutional Investors and Changes

A number of institutional investors have made adjustments to their holdings in Vistra. Norges Bank acquired a new position valued at approximately $409.09 million in the fourth quarter. Furthermore, Massachusetts Financial Services Co. MA increased its stake in Vistra by 63.6% during the same period, now owning 6,260,363 shares worth $863.12 million after adding 2,433,732 shares. Capital International Investors also bought a new stake valued around $286.41 million, and Raymond James Financial Inc. secured a new position valued at $237.44 million in the fourth quarter. Lastly, Appaloosa LP bolstered its stake by 112.5%, acquiring 2,700,000 shares worth approximately $372.25 million. Overall, institutional investors and hedge funds own about 90.88% of Vistra's stock.

About Vistra

Vistra Corp. operates as a comprehensive electricity and power generation company through its subsidiaries. It is structured into six segments: Retail, Texas, East, West, Sunset, and Asset Closure. The company provides electricity and natural gas services to residential, commercial, and industrial clients across various states in the U.S. and the District of Columbia.

Final Consideration

Investors may want to consider the insights from analysts and recent trends in insider activity before making decisions regarding Vistra. Though the stock shows a moderate buy rating, other alternatives might be worth investigating.

Vistra, Stock, Investment