5-Star Stocks Poised to Pop: NRG Energy

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, power plant operator NRG Energy (NYS: NRG) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at NRG's business and see what CAPS investors are saying about the stock right now.

NRG facts

Headquarters (founded)

Princeton, N.J. (1989)

Market Cap

$4.5 billion

Industry

Independent power producers

Trailing-12-Month Revenue

$9.0 billion

Management

CEO David Crane (since 2003)
CFO Kirkland Andrews (since 2011)

Return on Equity (average, past 3 years)

5.1%

Cash/Debt

$1 billion / $10.3 billion

Dividend Yield

1.8%

Competitors

AES
Calpine
GenOn Energy


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 733 members who have rated NRG believe the stock will outperform the S&P 500 going forward.

A couple of months ago, one of those bulls, WilliamCrook2003, succinctly summed up the bull case for our community:

There are many reasons to like this company including its portfolio of energy friendly energy sources including wind turbines, nuclear power stations, biomas facilities, and solar power fields. For me though it has to be its eVgo service which helps people charge their electric cars at home or away from home. The share price of this company is a bargain right now and by owning shares in this company you have the feel good factor in knowing your money is being used to help our world and the environment around us.

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite its five-star rating, NRG may not be your top choice.

If that's the case, we've compiled a special free report for investors called "The 3 Dow Stocks Dividend Investors Need," which uncovers a few other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow theTrackPoisedToCAPS account.

The article 5-Star Stocks Poised to Pop: NRG Energy originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement