Vistra Corp. (NYSE:VST) is included among the 15 Dividend Stocks with Low Payout Ratios and Strong Upside. Morgan Stanley Sees Data Centers Driving the Next Phase of Growth for Vistra (VST) On December 16, Morgan Stanley analyst David Arcaro raised the firm’s price target on Vistra Corp. (NYSE:VST) to $228 from $225 and kept an Overweight rating on the shares. In a year-ahead note, he told investors that utility performance will be heavily driven by data centers, with added growth potential showing up in ...

TC Energy Corporation (NYSE:TRP – Get Free Report) (TSE:TRP) was the recipient of some unusual options trading on Wednesday. Stock traders purchased 16,157 put options on the company. This represents an increase of approximately 1,446% compared to the average volume of 1,045 put options. Get TC Energy alerts: Institutional Trading of TC EnergySeveral institutional investors have recently added to or reduced their stakes in the stock. Goldman Sachs Group Inc. raised its holdings in TC Energy by 2,565.1% duri ...

Market Overview - The U.S. market has shown volatility, with returns of 19.2% for the Nasdaq Composite, 15.8% for the S&P 500, and 13.7% for the Dow Jones Industrial Average over the past year [1] - Concerns are rising regarding the moderating pace of the economy, influenced by a cooling labor market and high valuations in the technology sector [1] Federal Reserve Actions - The Federal Reserve cut its key interest rate by a quarter percentage point in December to support the job market and stimulate growth, with inflation trending near the 2% target [2] - The Fed has reduced borrowing costs three times this year, bringing the overnight borrowing rate to a range of 3.50-3.75% [2] Labor Market Conditions - The job market is showing signs of cooling, with softer hiring, rising unemployment at 4.6%, and a narrowing gap in job openings [3] - Nonfarm payrolls increased by 64,000 jobs in November after a decline of 105,000 jobs in October, the largest drop since December 2020 [3] Investment Opportunities - Investors looking to diversify can consider dividend-paying stocks, which indicate a healthy business model and tend to outperform non-dividend-paying stocks in volatile markets [4] - Notable dividend-paying companies include: - **Pentair (PNR)**: Declared a dividend of 27 cents per share with a yield of 1% and a payout ratio of 21% [5][6] - **nVent Electric (NVT)**: Declared a dividend of 21 cents per share with a yield of 0.8% and a payout ratio of 26% [7][8] - **CenterPoint Energy (CNP)**: Declared a dividend of 23 cents per share with a yield of 2.3% and a payout ratio of 51% [10][11][12] - **Marriott Vacations Worldwide (VAC)**: Declared a dividend of 80 cents per share with a yield of 5.5% and a payout ratio of 44% [10][13][14] - **PG&E (PCG)**: Declared a dividend of 5 cents per share with a yield of 0.7% and a payout ratio of 7% [15]

Key Takeaways HD expects Q4 sales pressure due to weaker storm-driven demand and tough year-over-year comps.Comparable sales fell 1.5% in October as storm-related categories saw sharp declines.HD cut FY25 comp sales outlook to slightly positive, down from its prior forecast of 1% growth.The Home Depot, Inc. (HD) faces a challenging fourth quarter in fiscal 2025 as year-over-year weather comparisons intensify. Management has acknowledged that third-quarter performance fell short of expectations due to the ab ...

Core Viewpoint - GE Vernova (GEV) has experienced a significant share price increase of over 115% year to date in 2025, driven by strong demand from AI-related power consumption, electrification initiatives, and global decarbonization efforts [1] Group 1: Company Performance - GEV's portfolio includes power generation, grid transmission, and energy storage technologies, positioning the company for solid growth through capital deployment in data-intensive sectors and infrastructure modernization [2] - The company has outlined a positive medium-term outlook, projecting revenue to reach $52 billion by 2028, up from an expected $36 billion to $37 billion in 2025, with EBITDA margins targeted at approximately 20% by 2028 compared to 8%-9% for 2025 [3] - Management forecasts cumulative free cash flow of $22 billion from 2025 through 2028, after allocating nearly $10 billion for capital expenditures and R&D, indicating strong cash generation potential [4] Group 2: Market Position and Growth Catalysts - GE Vernova is expected to benefit from a multi-year energy investment cycle, with projected revenue between $41 billion and $42 billion in 2026, reflecting low double-digit year-over-year growth [6] - Adjusted EBITDA margins are anticipated to rise to 11%-13% as the company capitalizes on a rapidly expanding backlog and favorable pricing [6] - JPMorgan has raised its price target for GE Vernova to $1,000 per share, suggesting nearly 60% upside from the closing price of $625.30 on December 9 [5]

Core Viewpoint - Vistra Corp. is recognized as a promising investment in the AI sector, with KeyBanc initiating coverage with an "Overweight" rating and a price target of $217.00, reflecting a positive outlook on US power markets driven by Vistra's diversified assets and strong cash flow [1][4]. Group 1: Company Positioning - Analyst Sophie Karp highlights that Vistra's scale, diversified generation mix, and strong cash flow provide resilience and growth options in a tightening U.S. power market [2]. - The company is well-positioned to benefit from the long-term growth phase in the US power market, driven by AI data centers, industrial reshoring, and electrification [2][4]. - Vistra's dispatchable generation assets and strategic partnerships with major hyperscalers like Amazon and Microsoft enhance its ability to capitalize on increasing demand [3]. Group 2: Market Trends and Policy Support - The favorable policy environment prioritizing reliability and energy security further strengthens Vistra's portfolio value [3]. - The company is expected to maintain financial flexibility while funding growth initiatives, positioning it advantageously in the evolving market landscape [3][4]. - The base case analysis excludes potential upside from initiatives such as battery storage or hyperscale partnerships, which could unlock additional value if executed successfully [4].

Core Viewpoint - Vistra Corp. (NYSE:VST) is highlighted as a significant AI stock to watch, with Wells Fargo initiating coverage with an "Overweight" rating and a price target of $238, indicating strong positioning in the utility and energy sector [1][2]. Group 1: Company Overview - Vistra Corp. operates as an integrated retail electricity and power generation company, focusing on independent power production (IPP) [2]. - The company is compared to Constellation Energy (CEG), suggesting a similar investment narrative but with a longer catalyst path for Vistra [2]. Group 2: Investment Perspective - Wells Fargo's analysis positions Vistra as a strong investment choice within the IPP sector, reflecting confidence in its growth potential [1][2]. - While acknowledging Vistra's potential, the analysis suggests that certain AI stocks may present greater upside potential and lower downside risk [3].

Core Insights - GE Vernova Inc. (NYSE:GEV) has experienced significant stock performance, rising from the low 100s to the low 600s since its public debut in April of last year [1] - The company specializes in energy technologies and services, including power generation, wind energy, and electrification [1] - GE Vernova produces natural gas turbines essential for various applications, including data centers, contributing to its strong market performance [1] Company Overview - GE Vernova Inc. provides a range of energy solutions, including gas, nuclear, hydro, and wind systems, as well as grid, solar, storage, and software solutions [1] - The company is recognized for its role in the energy sector, particularly in the production of natural gas turbines [1] Market Commentary - Jim Cramer highlighted GE Vernova's stock performance during a recent episode, indicating a positive outlook for the company [1] - While GE Vernova shows potential as an investment, there are suggestions that certain AI stocks may offer greater upside potential with less downside risk [1]

Core Viewpoint - Vistra has received regulatory approval from the Federal Energy Regulatory Commission (FERC) for its acquisition of seven natural gas generation facilities, which is expected to close in Q4 2025 or Q1 2026 [1][3]. Group 1: Acquisition Details - The acquisition, initially announced in May, will add approximately 2,600 megawatts of capacity from five combined-cycle gas turbine plants and two combustion turbine plants to Vistra's generation portfolio [2]. - The facilities are located across PJM, New England, New York, and California, enhancing Vistra's geographic footprint and reliability in serving customers [2]. Group 2: Regulatory Approvals - FERC approval was granted on October 2, 2025, and the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act has expired [3]. - The transaction is still subject to approval by the New York Public Service Commission and other customary closing conditions [3]. Group 3: Company Overview - Vistra is a leading integrated retail electricity and power generation company based in Irving, Texas, focusing on reliability, affordability, and sustainability [3]. - The company operates a diverse power generation fleet, including natural gas, nuclear, coal, solar, and battery energy storage facilities [3].

Core Insights - Vistra plans to report its third quarter 2025 financial and operating results on November 6, 2025, during a live conference call and webcast [1] - The company is a leading integrated retail electricity and power generation firm, focusing on reliability, affordability, and sustainability [3] Financial Reporting - The third quarter 2025 results will be discussed in a live conference call starting at 10 a.m. ET [1] - A replay of the webcast will be available on Vistra's website for one year following the call [2] Company Overview - Vistra is based in Irving, Texas, and operates a diverse power generation fleet including natural gas, nuclear, coal, solar, and battery energy storage facilities [3] - The company emphasizes a customer-centric approach in its retail business [3] Recent Financial Activities - Vistra announced a private offering of $2 billion in senior secured notes [4] - The offering includes notes due in 2028 and 2030 [5]