Does NRG Energy, Inc have an economic moat?

Based on its FY2025 SEC filings, the Moat Index scores NRG Energy, Inc (NRG) 35.1 out of 100 — below the Shallow-moat bar, so no moat. The four filters behind that score (each 0–100): pricing power 14, returns on capital 56, balance-sheet safety 7, capital discipline 64.

Is NRG stock trading below its intrinsic value?

Against a deliberately conservative owner-earnings model (9% discount rate, 0% assumed growth, capped at 4%), estimated intrinsic value is $91.86 per share versus a recent price of $129.11 — 41% above value. This is an educational estimate computed from primary SEC filings, not investment advice.

How has NRG's Moat Score changed over time?

The record logs 3 readings since Jul 17, 2026; the latest reads 35.1 out of 100 (no moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

The Moat Index

NRG Energy, Inc

NRG · Utilities · $24.6B mkt cap · FY2025 filings · No moat ·

Doesn't clear the bar

No moat

The four filters

Pricing power14

Median gross margin 24.1% over 5y, variable.

Returns on capital56

Median ROIC 12.2%, above the 9% hurdle in 70% of years.

Balance-sheet safety7

Net debt/EBITDA 3.6x, interest coverage 2x.

Capital discipline64

Owner earnings trend unclear, share count shrinking (buybacks).

Margin of safety

Above valueOn sale

41% above value

Owner earnings (normalized): $1.6B
Est. intrinsic value / share: $91.86
Recent price: $129.11
Discount to value: 41% above value

Conservative model: 9% discount rate, 0% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

20 years of fundamentals

The business, in plain English

Across the filed record, revenue grew from $6.0B (FY2007) to $30.3B (FY2025) — about 9.4% a year compounded over 18 years.

It earned 10.5% on invested capital in FY2025, with a median of 10.2% across 19 filed years. The Returns on Capital filter above scores it 56/100.

The balance sheet carried $16.4B of total debt in FY2025 against $1.1B of owner earnings — roughly 14.6 years of owner earnings to retire it all. Balance-Sheet Safety scores it 7/100.

The share count fell 18.8% between FY2008 and FY2025 — management has been retiring shares, which concentrates each remaining owner's claim. Capital Discipline scores it 64/100.

Put together: Capital Discipline is the strongest of the four filters (64/100) and Balance-Sheet Safety the weakest (7/100), which is how NRG lands at 35/100 — a None moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

RevenueSales, as filed$30.3B FY2025

Gross marginRevenue kept after cost of goods24.7% FY2020

Return on invested capitalOperating profit on the capital employed10.5% FY2025

Owner earningsCash an owner could take out$1.1B FY2025

Gaps in a line mean that item isn’t in NRG’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale35.1 / 100

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — NRG has read No moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Utilities context

#24 of 48 scored Utilities companies, ranked by Moat Score.

Nearest peers by Moat Score

#22PNW PINNACLE WEST CAPITAL CORP37.6 out of 100, No moatNo moat
#23OGE OGE ENERGY CORP.36.6 out of 100, No moatNo moat
#25CWST CASELLA WASTE SYSTEMS, INC.34.4 out of 100, No moatNo moat
#26CNP CENTERPOINT ENERGY INC34.3 out of 100, No moatNo moat

Compare NRG with its nearest peers →All Utilities companies on the Index →

Common questions about NRG

Does NRG Energy, Inc have an economic moat?: Based on its FY2025 SEC filings, the Moat Index scores NRG Energy, Inc (NRG) 35.1 out of 100 — below the Shallow-moat bar, so no moat. The four filters behind that score (each 0–100): pricing power 14, returns on capital 56, balance-sheet safety 7, capital discipline 64.
Is NRG stock trading below its intrinsic value?: Against a deliberately conservative owner-earnings model (9% discount rate, 0% assumed growth, capped at 4%), estimated intrinsic value is $91.86 per share versus a recent price of $129.11 — 41% above value. This is an educational estimate computed from primary SEC filings, not investment advice.
How has NRG's Moat Score changed over time?: The record logs 3 readings since Jul 17, 2026; the latest reads 35.1 out of 100 (no moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell NRG. See the disclaimer.