Utility companies have been taking it on the chin lately as higher bond yields have become more attractive to fixed income investors. However, some companies have been pushing higher, and NRG Energy is one of them.
The recent earnings report beat estimates and pushed this stock higher. You can see its extremely strong relative strength in the top pane. The upward trajectory that began in early February is powerful, but it may stall out soon. A pull back is the time to pull the trigger.
MACD is still on a strong buy signal as money flow is starting to go positive. I believe the stock may follow the path of the orange line over the coming weeks. I like this name, and we are long April 26 calls.
NRG Energy (NYSE: NRG) Video Chart Analysis
Take a deeper dive into the chart action on NRG Energy NYSE: NRG and learn how to read the technicals. Get Bob Lang’s full analysis as he marks up our chart of the week.
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About NRG Energy
NRG Energy, Inc., together with its subsidiaries, operates as an integrated power company. The company provides electricity to residential, commercial, and industrial consumers; system power, distributed generation, solar and wind products, backup generation, storage and distributed solar, demand response, energy efficiency, and on-site energy solutions; carbon management and specialty services; and various energy services, such as operations, maintenance, technical, development, and asset management services. It owns and operates approximately 47,000 megawatts of generation. The company also offers retail energy, portable solar, and battery products home services; and various bundled products, which combine energy with protection products, energy efficiency, and renewable energy solutions, as well as other distributed and reliability products. It serves approximately 2.8 million mass recurring customers. In addition, the company owns, operates, and develops solar and wind power projects; develops, constructs, and finances a range of solutions for utilities, schools, municipalities, and commercial markets; provides residential solar and electric vehicle services; and trades in electric power, natural gas, and related commodity and financial products, including forwards, futures, options, and swaps, as well as oil and weather products. As of December 31, 2016, it operated 85 fossil fuel and nuclear plants. Further, the company transacts and trades in fuel and transportation services; directly sells energy, services, and products and services to retail customers under the NRG, Reliant, and other names; and provides steam, hot water, and chilled water, as well as electricity to commercial businesses, universities, hospitals, and governmental units. NRG Energy, Inc. has a strategic partnership with Cummins Inc. to deploy a distributed energy platform for commercial and industrial customers. The company was founded in 1989 and is headquartered in Princeton, New Jersey.
