I believe it is time to buy NRG. Here's why.
In its industry (Utilities : Electric Utilities) NRG is fundamentally well positioned. I like its value indicators:
- NRG is in the cheapest 20% of its industry if analyzed on PE, Price/Book and Price/Cash Flow, and it has an average Price/Sales
- It has good Current and Quick Ratios, although it has a little high Debt/Equity Ratio
- Profitability is in the best 20% of its industry, as its ROI and ROE
- Finally, EPS and Sales Growth are better than industry average
In addition to that, technical indicators show that NRG's down trend is likely to be finished.
I would suggest to buy NRG with an initial stop loss at $16.35.
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