Vistra Stock Dips Despite Bullish Analyst Initiation

Shares of Vistra Corp. (VST) fell as much as 5% in early trading Wednesday before paring losses, settling 1.6% lower despite a bullish initiation from Melius Research. The NYC-based firm assigned a buy rating with a $295 price target, implying 55% upside potential.

Melius highlighted Vistra's leadership in energy storage, particularly its Moss Landing facility—one of the world's largest battery systems. The analyst noted aggressive investments in solar and battery infrastructure, along with an acquisitive growth strategy.

Concerns linger around Vistra's $17.5 billion net debt load, which pushes its enterprise value to $83 billion. At 35 times trailing earnings, the valuation demands significant growth—a challenge for any utility, even one transitioning toward renewable assets.