BMO Capital analyst James Thalacker lowered the firm’s price target on NRG Energy (NRG) to $43 from $46 and keeps a Market Perform rating on the shares after its acquisition of Vivint Smart Home (VVNT). The transaction meaningfully advances the company’s strategy of leveraging its existing 6mm customer base and creating a more robust and potentially margin enhancing national "Consumer Products" business, but investors will likely stay on the sidelines for now given the lack of growth visibility and margin enhancement associated with the transaction and the cost needed to maintain and expand its growing consumer cross-selling strategy, the analyst tells investors in a research note.
Published first on TheFly
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