"Shares of Vistra ( NYSE:VST) are going through a bit of a slump, now down around 24% from its peak. Undoubtedly, the bear seems firmly in control, especially as the S&P chops around following fears surrounding Trump's new slate of tariffs over Greenland. Undoubtedly, it's hard to tell if we're at the start of a vicious market-wise correction. If we are, hyper-growth plays such as Vistra could take on amplified pain on the downside, given the 1.42 beta and loftier multiple."
"Of course, the price of admission remains steep, even after the latest slump. Shares are trading at just shy of 60 times trailing price-to-earnings (P/E). Given its nuclear power deals with some of Meta Platforms ( NASDAQ:META), though, and the aggressiveness of its expansion plan, perhaps the multiple isn't high enough given the longer-term outlook for energy demand. In my view, Vistra deserves to go for a premium valuation."
Shares of Vistra have fallen roughly 24% from their peak amid broader market volatility tied to tariff concerns, producing short-term weakness. The company’s operations include nuclear and gas power projects intended to support surging AI data center demand, and Vistra holds nuclear power deals with Meta Platforms. The stock carries a trailing P/E near 60 and a forward P/E about 17.4, reflecting both elevated current valuation and expected earnings growth. With a beta of 1.42, Vistra is sensitive to market moves. Many analysts rate the company a buy, and management is pursuing aggressive expansion to capture long-term energy demand.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]