We disagree with these activists

Article Excerpt

According to a study by Barclays bank, the number of activist campaigns dropped 32% in the second quarter of 2023 from a year earlier. However, activist activity will likely rebound in the second half of the year. Even so, we feel there are better options for your new buying than these three targeted firms (includes IHS Holding in the box). NRG ENERGY INC. $38 is a hold. The company (New York symbol NRG; Utilities sector; Shares outstanding: 230.2 million; Market cap: $8.7 billion; Dividend yield: 4.2%; Takeover Target Rating: Medium; www.nrg.com) is a U.S. power producer that owns 16 gigawatts of conventional and renewable generating capacity. It serves more than 7.5 million North American customers. In March 2023, NRG acquired Vivint Smart Home Inc. for $2.61 billion. That firm makes home security systems, including surveillance cameras, sensors and locks. Despite that purchase, lower power rates cut NRG’s revenue in the first quarter of 2023 by 2.2%, to $7.72 billion from $7.90 billion a year earlier. The company…