NRG Energy Inc. (NRG)vsStem Inc (STEM)
NRG
NRG Energy Inc.
$133.36
+1.43%
UTILITIES · Cap: $26.47B
STEM
Stem Inc
$9.04
-9.78%
UTILITIES · Cap: $68.97M
Smart Verdict
WallStSmart Research — data-driven comparison
NRG Energy Inc. generates 21100% more annual revenue ($32.38B vs $152.75M). STEM leads profitability with a 94.2% profit margin vs 0.7%. NRG earns a higher WallStSmart Score of 51/100 (C-).
NRG
Buy51
out of 100
Grade: C-
STEM
Hold42
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for NRG.
Margin of Safety
+65.9%
Fair Value
$33.73
Current Price
$9.04
$24.69 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
19.5% revenue growth
Keeps 94 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Areas to Watch
Distress zone — elevated risk
ROE of 4.9% — below average capital efficiency
0.7% margin — thin
Operating margin of 3.6%
0.0% earnings growth
Smaller company, higher risk/reward
ROE of -5921.0% — below average capital efficiency
Revenue declined 10.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : NRG
The strongest argument for NRG centers on PEG Ratio, Revenue Growth. Revenue growth of 19.5% demonstrates continued momentum. PEG of 0.43 suggests the stock is reasonably priced for its growth.
Bull Case : STEM
The strongest argument for STEM centers on Profit Margin, Debt/Equity. Profitability is solid with margins at 94.2% and operating margin at -37.5%.
Bear Case : NRG
The primary concerns for NRG are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 136.4x leaves little room for execution misses. Debt-to-equity of 4.79 is elevated, increasing financial risk.
Bear Case : STEM
The primary concerns for STEM are EPS Growth, Market Cap, Return on Equity.
Key Dynamics to Monitor
NRG profiles as a growth stock while STEM is a declining play — different risk/reward profiles.
STEM carries more volatility with a beta of 1.44 — expect wider price swings.
NRG is growing revenue faster at 19.5% — sustainability is the question.
STEM generates stronger free cash flow (-10M), providing more financial flexibility.
Bottom Line
NRG scores higher overall (51/100 vs 42/100) and 19.5% revenue growth. STEM offers better value entry with a 65.9% margin of safety. 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.
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.
Stem Inc
UTILITIES · UTILITIES - RENEWABLE · USA
Stem, Inc. is an energy technology company in the United States. The company is headquartered in Millbrae, California.
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