WallStSmart

Kenon Holdings (KEN)vsNRG Energy Inc. (NRG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NRG Energy Inc. generates 3422% more annual revenue ($30.71B vs $871.93M). KEN leads profitability with a 7.6% profit margin vs 2.8%. NRG trades at a lower P/E of 38.3x. NRG earns a higher WallStSmart Score of 54/100 (C-).

KEN

Hold

40

out of 100

Grade: F

Growth: 6.7Profit: 4.5Value: 3.0Quality: 7.5
Piotroski: 5/9Altman Z: 2.23

NRG

Buy

54

out of 100

Grade: C-

Growth: 3.3Profit: 6.0Value: 6.7Quality: 5.3
Piotroski: 5/9Altman Z: 1.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KENSignificantly Overvalued (-39.8%)

Margin of Safety

-39.8%

Fair Value

$54.56

Current Price

$93.04

$38.48 premium

UndervaluedFair: $54.56Overvalued
NRGUndervalued (+59.0%)

Margin of Safety

+59.0%

Fair Value

$391.91

Current Price

$153.37

$238.54 discount

UndervaluedFair: $391.91Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KEN1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
43.1%10/10

Revenue surging 43.1% year-over-year

NRG1 strengths · Avg: 10.0/10
Return on EquityProfitability
41.5%10/10

Every $100 of equity generates 42 in profit

Areas to Watch

KEN4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.1%3/10

ROE of 5.1% — below average capital efficiency

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

P/E RatioValuation
69.1x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-93.7%2/10

Earnings declined 93.7%

NRG4 concerns · Avg: 3.5/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.704/10

Distress zone — elevated risk

Profit MarginProfitability
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
4.3%3/10

Operating margin of 4.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : KEN

The strongest argument for KEN centers on Revenue Growth. Revenue growth of 43.1% demonstrates continued momentum.

Bull Case : NRG

The strongest argument for NRG centers on Return on Equity. Revenue growth of 13.7% demonstrates continued momentum. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bear Case : KEN

The primary concerns for KEN are Return on Equity, Profit Margin, P/E Ratio. A P/E of 69.1x leaves little room for execution misses.

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.

Key Dynamics to Monitor

KEN profiles as a hypergrowth stock while NRG is a value play — different risk/reward profiles.

NRG carries more volatility with a beta of 1.34 — expect wider price swings.

KEN is growing revenue faster at 43.1% — sustainability is the question.

KEN generates stronger free cash flow (53M), providing more financial flexibility.

Bottom Line

NRG scores higher overall (54/100 vs 40/100) and 13.7% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Kenon Holdings

UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA

Kenon Holdings Ltd., is the owner, developer and operator of power generation facilities in Israel and internationally. The company is headquartered in Singapore.

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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.

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