Retirement Stock Portfolio: 12 Energy Stocks To Consider

2. Vistra Corp. (NYSE:VST)

A Texas-based Fortune 500 company, Vistra Corp. is an integrated retail electricity and power generation company. Vistra Corp. (NYSE:VST) recently made it to the top of our list of 10 Best Dividend Stocks of 2024. It has been raising its dividends since 2019, with dividends being distributed quarterly. Its trailing annual dividend yield is 1.12%, while a forward dividend yield of 1.19% suggests a positive outlook for its future dividend policy and possibly its overall financial health.

For the second quarter of 2024, Vistra Corp. (NYSE:VST) reported $467 million GAAP net income, down from $476 in the same quarter of the prior year. The decline in net income stems from higher depreciation and interest expense, albeit partially offset by operating income generated from the acquisition of Energy Harbor. Vistra is responding to rising clean electricity demand by expanding its emission-free energy production through solar, natural gas, and nuclear sources. The company is focused on strong earnings, disciplined capital allocation, and a sustainable energy future.

In their second quarter 2024 investor letter, Legacy Ridge Capital stated the following remarks regarding Vistra (NYSE:VST):

“One of the sectors we know well which had been out of favor for several years has quickly come into favor: Independent Power Producers (IPPs). We’ve written consistently about NRG and Vistra Corp. (NYSE:VST) since the 2019 letter, have owned each, or both, since 2018, and invested a meaningful amount of our assets in VST specifically the past few years. Nate and I intend on spending more time in the year-end letter on our updated views on the IPPs and our learnings from the on-going investment, but we were a bit surprised how quickly the narrative around these companies changed. Our Blue Sky 2030 estimates of intrinsic value converged with the share price 6-years before we thought probable.

Overall, Vistra Corp is an AI Stock You Should Not Have Missed. 92 of the hedge funds tracked by Insider Monkey are bullish on this stock at the end of Q2 2024, representing a collective value of $40.3 billion.