Vistra Energy Corp. (VST) Leaves Investors Bruised, But Is It Still Worth Buying?

On November 29, 2019, Vistra Energy Corp. (NYSE:VST) shares gained 0.19% or 0.05 points to close at $26.53 with a thin trading volume of 1.478 million shares. It opened the trading session at $26.43, the shares rose to $26.68 and dropped to $26.265, the range by which the price of stock traded the whole day. The company now has a market cap of $13.1 billion and currently has 492 million outstanding shares. Vistra Energy Corp. (VST) stock has plunged -2.64 percent of market value in 21 trading days.

VST stock’s trailing 3-year beta is 0, meaning there will be a lower rate of return, although posing a lower risk. The part of a firm’s profit given to each outstanding share of regular stock was $1.01 share in the trailing 52 weeks. The stock’s value surged 15.9 percent year to date (YTD) compared to a rise of 13.62 percent in 52 week’s period. The firm’s shares are still trading -5.11 percent below its 1-year high of $27.96 and 27.33 percent up from 52-week low of $20.83. The average consensus ranking on the company is 1.6, on a ranging where 5 is equal to a consensus sell rating. In other words, the mean analyst recommendations are ranking this stock as a buy.

Vistra Energy Corp. (VST) is most likely going to rise 26.27 percent in the coming 12 months, as per price target approximations compiled by finviz. Nevertheless, they have set the price target at a $39-month high price target. This represents a whopping 47 percent increase from the current trading of shares. The 52-week median price target given by the analysts is $32, which means a return possibility of 20.62 percent in comparison with the closing price of the stock of $26.53 on November 29. The lowest price set for the stock is $31 — just above 16.85 percent from VST share price now.

Past records have indicated that shares in Vistra Energy Corp. rose on 5 different earnings reaction days and we have yet to see whether this trend will play out and remain in place when the company reports upcoming earnings. Investors will get the next hint of VST’s Q4 earnings on March 04. Analysts are predicting revenue to climb 28.4 percent to $3.29B in the financial fourth quarter, while EPS will soar by about -262.16 percent to $0.6 per share. In the last quarter, it earnings of $0.2139 per share came worse than the $0.36727, adjusted, expected by Thomson Reuters consensus estimate. Revenue for the quarter was $2.58B, topping the $2.14B analysts had expected. Earnings are seen to rise by -123.2 percent this year, -4.53 percent in the coming year and the trend continues by 16.7 percent every year in the next 5 years.

Let’s take a glimpse at some insider activity at Vistra Energy Corp. (NYSE:VST) and observe the pattern. The earliest insider trade happened on 11/11/2019. DOBRY ELIZABETH CHRISTINE parted with a total of 0.59 thousand shares of the firm at average share price of $26.15. The total amount for the sale was set at $15.48 thousand. On completing this exchange, the VP and Controller account balance was 12.86 thousand shares. The stock grew 1.45 percent from that insider sale. On 11/11/2019, BURKE JAMES A, EVP and COO, did a sale of 12.1 thousand shares at a price of $26.15 per share. This got rid of 316.47 thousand shares from the insider’s fortune and the stock experienced a 1.45 percent rally in price since the news became public. This exchange saw 168.88 thousand shares get out from the EVP and COO account.

On 11/11/2019, President and CEO MORGAN CURTIS A recorded a sale transaction valued at $395.54 thousand. The sale at $26.15 a share has eliminated 15.13 thousand shares from the insider’s portfolio position. Meanwhile, shares price witnessed 1.45 percent increase since the transaction reporting date. The company insider is left with 339.9 thousand shares remaining in the account. Kirby Carrie Lee, who works as EVP and Chief Admin. Officer at the company, performed a sale of 3.05 thousand shares in a transaction worth $79.73 thousand. The disposal recorded on 11/11/2019 was priced at $26.15 per share. The stock price soared 1.45 percent since the transaction. Kirby Carrie Lee currently holds a stake of 59.17 thousand in VST stock which is worth $1.57 million after the insider selling.

The stock is lingering around the initial support level of $26.3. After this, the following support is at the zone of $26.08. Up until the time the VST stock hit levels beyond the current one, bulls should have no alarm. In terms of its momentum, the stock’s RSI hit 51.7 on the daily chart, and this may be a cause for concern. In case the price goes below $26.08 level on closing basis, there may be more profit booking with the stock growing weaker. Still, getting to the $26.72 level may cause a pull-back move approaching $26.91 mark.

Vistra Energy Corp. (VST) shares are trading at a P/E ratio of 25.3 times earnings posted in the trailing 12 months. The industry VST deals with has an average P/E of 20.2. Its P/B ratio is standing at 1.7X compared to the 1.5 industry average. It is additionally sporting a 1.1 on the Price-to-Sales ratio, compared to the industry’s P/S average of 1.2.