CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
We lower our 12-month target by $13 to $202, 22.0x our next-12-month EPS estimate of $9.20, a premium to VST's three-year historical average of 16.9x and above fully regulated utilities to reflect VST's strong growth expectations and our positive outlook for IPPs and nuclear operators. We lift our 2026 EPS view by $0.04 to $8.86 and raise 2027 EPS by $0.67 to $11.28. VST has secured major 20-year Power Purchase Agreements (PPAs) for approximately 3.8 GW of nuclear capacity: 1,200 MW with AWS at Comanche Peak and ~2,600 MW with Meta across PJM facilities (including 433 MW of uprates). The Meta PPAs are expected to begin contributing to adjusted EBITDA in 2027, though are excluded from current 2027 guidance ranges. We think the shift toward long-term contracted revenue streams significantly de-risks VST's earnings profile, making it more predictable and less susceptible to commodity price volatility. We expect adjusted EBITDA to increase 24.8% in 2026 and another 15.1% in 2027.