NRG Energy Inc (NYSE:NRG) shares are down considerably in early morning trading today as the company announces that CEO David Crane has resigned. Operations chief Mauricio Gutierrez will be Crane’s replacement.
“My sense is that over the course of my business life I probably have talked too much and this might be a good time to err on the side of speaking too little,” Mr. Crane wrote in an email.
Besides the news of Crane’s departure, the drop in energy prices this morning has to also be impacting NRG Energy Inc’s (NYSE:NRG) share price to some extent. The stock is down 10.57% or $1.16 following the news, hitting $9.81 per share. Approximately 2.17 million shares traded hands. NRG shares have declined 56.54% since May 1, 2015 and are currently downtrending. It has underperformed the S&P500 by 56.34%.
From a total of 10 analysts covering NRG Yield (NYSE:NRG) stock, 7 rate it a “Buy”, 1 a “Sell”, and 2 a “Hold”. This means that 70% of the ratings are positive. The highest target price is $36 while the lowest target price is $15. The mean of all analyst targets is $25.57 which is 160.65% above today’s ($9.81) stock price. NRG Yield was the topic of 11 analyst reports since August 10, 2015 according to the firm StockzIntelligence Inc. Citigroup initiated shares on December 1 with a “Sell” rating. Barclays Capital maintained NRG stock in a recent report from September 21 with a “Buy” rating. Finally, Wolfe Research downgraded the stock to a “Outperform” rating in a report they issued on an August 10.
The institutional sentiment decreased to 0.79 in Q2 2015. It’s down 0.07, from 0.86 in 2015Q1. The ratio fall, as 48 funds sold all their NRG Energy Inc shares they owned while 141 reduced their positions. 32 funds bought stakes while 117 increased their total positions. Institutions now own 328.64 million shares which is 2.17% less than the previous share count of 335.92 million in 2015Q1.
Bocage Capital Llc holds 6.69% of its total portfolio in NRG Energy Inc, equating to 541,688 shares. Community Bank Of Raymore owns 448,260 shares representing 5.35% of their total US portfolio. Moreover, Passport Capital Llc has 4.07% of their total portfolio invested in the company, equating to 8.82 million shares. The New York-based Fic Capital Inc has a total of 3.12% of their portfolio invested in the stock. Luminus Management Llc, a New York-based fund reported 3.53 million shares owned.
NRG Energy, Inc. is a power company that produces, sells and delivers energy, and energy services and products in power markets in the United States. The company has a market cap of $3.38 billion. NRG’s business divisions are NRG Business, NRG Home, NRG Renew, NRG Yield and corporate activities. It currently has negative earnings. NRG Business consists of NRG’s wholesale operations, including plant operations, commercial operations, engineering, procurement and construction (EPC), energy services and other related functions.