Overweight Call on Vistra (VST) From KeyBanc Highlights Scale and Cash Flow Strength

Core Insights - Vistra Corp. (NYSE:VST) is recognized as one of the best long-term stock investments in the U.S. market [1] - KeyBanc initiated coverage on Vistra with an Overweight rating and a price target of $217, citing the company's scale, diversified generation mix, and strong cash flow as key strengths [2] - S&P Global upgraded Vistra's long-term credit rating to BBB- from BB+, highlighting improvements in the company's risk profile due to strategic acquisitions and strong hedging practices [4] Company Developments - Vistra is expanding its energy footprint by acquiring seven natural gas plants and planning to build two new natural gas power units, adding 860 MW of capacity in West Texas [3] - The company is expected to benefit from increasing electrification and demand from hyperscale data centers, supported by favorable policies [2] Financial Strength - KeyBanc emphasized Vistra's strong cash flow and resilience in a tightening U.S. power market, which provides growth optionality [2] - The upgrade from S&P Global reflects the company's improved risk profile, attributed to a nuclear power sales deal and the acquisition of natural gas assets [4]