NRG Energy Hits 52-Week High - Analyst Blog
March 20 2014 - 5:00PM
Zacks
On March 19, 2014, share prices of
NRG Energy, Inc. (NRG) touched a 52-week high of
$30.64, finally closing at $29.79 with a pretty good trade volume
of approximately 3.5 million, up 66.4% from the previous day.
The Driving Force
The market reacted positively after it was announced yesterday that
NRG Energy has received approval from the Federal Energy Regulatory
Commission for the entire transfer of Edison Mission Energy (EME)
assets to the company. The EME asset transfer – an Edison
International (EIX) unit – was previously announced in the
fourth quarter of 2013.
The addition of EME assets will add 8,000 megawatts (MW) to NRG’s
generation portfolio and fetch long-term synergies. Edison
Mission’s asset base includes 10 gas-fired plants in California, 4
coal-fired plants in Illinois and more than 30 wind projects in
various states.
NRG Energy has been actively engaged in acquisition and expansion
initiatives since the start of the year. The company
announced the acquisition of Dominion Resources
Inc.’s (D) retail electric segment for an undisclosed
amount. This acquisition will entitle NRG to an additional 600,000
new customer accounts and lucrative prospects in the Northeast and
Texas regions.
In addition, the company started constructing Guam’s first solar
power plant, Dangan, together with The Boeing
Company (BA) and its subsidiary NRG Solar LLC. This
renewable project is expected to substitute roughly 2 million
barrels of fuel oil and diesel consumption and generate 25 MW of
electricity.
With efforts in place for clean energy production, NRG Energy and
Virgin Limited Edition have entered into an agreement to provide
renewable power to Necker Island. Under this agreement, NRG will
produce power for the micro-grid in the island, 75% of which will
come from solar, wind and energy storage technologies.
NRG Energy, a Zacks Rank #3 (Hold) company, is focused on a
sustainable and cleaner way of power generation and emphasizes upon
the reduction of carbon base-load. With the renewable market
dynamics becoming more favorable in the U.S., NRG Energy’s pursuit
to increase its renewable portfolio will definitely prove to be a
key growth driver.
BOEING CO (BA): Free Stock Analysis Report
DOMINION RES VA (D): Free Stock Analysis Report
EDISON INTL (EIX): Free Stock Analysis Report
NRG ENERGY INC (NRG): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
NRG Energy (NYSE:NRG)
Historical Stock Chart
From Apr 2024 to May 2024
NRG Energy (NYSE:NRG)
Historical Stock Chart
From May 2023 to May 2024