NRG Energy (NRG) has a ROE of 4.9%, below the Utilities sector average of 11.31%.
Get informed when a big investor buys or sells
+ Follow4.90%
Return on Equity measures how efficiently a company uses shareholders' equity to generate profits. A higher ROE indicates better profitability relative to equity.
NRG Energy posts a ROE of 4.9%. That is below the Utilities sector average of 11.31%. Comparing that reading with peers and prior periods is usually more useful than looking at the number in isolation.
For Utilities stocks, a ROE near 11.31% is typical. NRG Energy's 4.9% is lower that level. That is roughly 56.7% below the sector mean. Whether that is a warning or an opportunity depends on growth outlook and other fundamentals shown elsewhere on Stockcircle.
NRG Energy's ROE moves when the underlying profit, equity, or asset base changes. Cost cuts, pricing power, buybacks, write-downs, and cyclical swings can all shift the percentage. The latest reading is 4.9%; use YoY and peer views to separate noise from signal.
Context for NRG's ROE usually means three checks: (1) trend versus prior periods, (2) level versus peers (average 11.31%), and (3) consistency with growth and profitability. This page covers the first two; NRG Energy's other metric pages and overview cover the third.
Judging NRG Energy against Utilities peers is usually better than using a market-wide rule of thumb. Business models inside Utilities are more comparable, which makes gaps in ROE easier to interpret. Start with 4.9% here, then scan peer and history charts to see if the gap is persistent.