NRG Energy (NRG) Gains Bullish Outlook from Jefferies on LS Power Portfolio Acquisition

Core Viewpoint - NRG Energy, Inc. is highlighted as a strong high-growth utility stock, with Jefferies reiterating a Buy recommendation and raising the price target from $176 to $198, driven by factors such as larger power capacity, reduced taxes, and lower financing costs [1][2]. Group 1: Financial Performance and Projections - Jefferies expects NRG's acquisition of the LS Power portfolio to be approved, projecting an average EBITDA of $1.9 billion for 2028-2029 from this acquisition, which adds 13 gigawatts of gas generation capacity and a demand-side management platform [2]. - NRG's stock offers a 13% free cash flow yield, which is notably higher than the mid-single-digit yields of its industry peers, indicating a potential buying opportunity [3]. Group 2: Company Overview - NRG is an integrated energy and home services company based in Texas, operating across the United States and Canada, and generating electricity from various sources including natural gas, coal, oil, solar, and battery storage [4].