Vistra (NYSE:VST) Shares Gap Up – Time to Buy?

Vistra Corp. (NYSE:VST)’s share price gapped up prior to trading on Thursday . The stock had previously closed at $126.09, but opened at $138.11. Vistra shares last traded at $132.70, with a volume of 3,771,194 shares changing hands.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on VST. Jefferies Financial Group boosted their target price on shares of Vistra from $99.00 to $137.00 and gave the stock a “buy” rating in a research report on Tuesday, September 24th. Guggenheim increased their price objective on Vistra from $133.00 to $177.00 and gave the stock a “buy” rating in a research note on Tuesday, October 8th. UBS Group cut their target price on Vistra from $157.00 to $150.00 and set a “buy” rating on the stock in a research report on Tuesday, October 22nd. BMO Capital Markets increased their price target on Vistra from $146.00 to $147.00 and gave the company an “outperform” rating in a research report on Tuesday, October 29th. Finally, Royal Bank of Canada upped their target price on shares of Vistra from $105.00 to $141.00 and gave the stock an “outperform” rating in a research note on Thursday, October 3rd. Ten analysts have rated the stock with a buy rating, According to data from MarketBeat.com, the stock currently has an average rating of “Buy” and an average target price of $145.40.

Vistra Price Performance

The firm has a 50 day moving average of $113.05 and a two-hundred day moving average of $94.80. The company has a current ratio of 0.98, a quick ratio of 0.88 and a debt-to-equity ratio of 2.89. The company has a market cap of $48.75 billion, a PE ratio of 104.35 and a beta of 1.09.

Vistra (NYSE:VST) last announced its quarterly earnings results on Thursday, August 8th. The company reported $0.90 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.59 by ($0.69). The company had revenue of $3.85 billion for the quarter, compared to analysts’ expectations of $4.04 billion. Vistra had a net margin of 4.61% and a return on equity of 21.05%. During the same period in the previous year, the business earned $1.03 EPS. Research analysts predict that Vistra Corp. will post 4.02 earnings per share for the current fiscal year.

Vistra Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, December 31st. Shareholders of record on Friday, December 20th will be issued a $0.221 dividend. This is an increase from Vistra’s previous quarterly dividend of $0.22. The ex-dividend date of this dividend is Friday, December 20th. This represents a $0.88 dividend on an annualized basis and a yield of 0.62%. Vistra’s dividend payout ratio is currently 64.71%.

Vistra declared that its Board of Directors has authorized a stock buyback program on Thursday, November 7th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the company to buy up to 2.1% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s leadership believes its shares are undervalued.

Institutional Trading of Vistra

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Lone Pine Capital LLC lifted its holdings in Vistra by 6.6% during the second quarter. Lone Pine Capital LLC now owns 6,838,007 shares of the company’s stock valued at $587,932,000 after purchasing an additional 425,126 shares in the last quarter. Castle Hook Partners LP boosted its stake in Vistra by 470.0% during the first quarter. Castle Hook Partners LP now owns 3,769,842 shares of the company’s stock valued at $262,569,000 after buying an additional 3,108,511 shares during the last quarter. TD Asset Management Inc increased its stake in Vistra by 9,668.5% in the 1st quarter. TD Asset Management Inc now owns 2,940,113 shares of the company’s stock worth $204,779,000 after acquiring an additional 2,910,015 shares during the last quarter. GQG Partners LLC boosted its position in shares of Vistra by 25.1% during the 1st quarter. GQG Partners LLC now owns 2,564,705 shares of the company’s stock valued at $178,632,000 after acquiring an additional 514,722 shares during the last quarter. Finally, Massachusetts Financial Services Co. MA grew its holdings in shares of Vistra by 115.3% in the second quarter. Massachusetts Financial Services Co. MA now owns 2,532,657 shares of the company’s stock valued at $217,758,000 after purchasing an additional 1,356,488 shares in the last quarter. 90.88% of the stock is owned by hedge funds and other institutional investors.

Vistra Company Profile

Vistra Corp., together with its subsidiaries, operates as an integrated retail electricity and power generation company. The company operates through six segments: Retail, Texas, East, West, Sunset, and Asset Closure. It retails electricity and natural gas to residential, commercial, and industrial customers across states in the United States and the District of Columbia.