Vistra Corp. (VST) Soared On Investors’ Optimism For Future Power Prices - InvestingChannel

Vistra Corp. (VST) Soared On Investors’ Optimism For Future Power Prices

Carillon Tower Advisers, an investment management company, released its “Carillon Eagle Mid Cap Growth Fund” third quarter 2024 investor letter. A copy of the letter can be downloaded here. Mid-cap stocks experienced a notable improvement in the third quarter after incurring losses in the second quarter. The Russell Midcap Growth Index (up 6.54%) underperformed the Russell Midcap Value Index (up 10.08%) during the quarter. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.

Carillon Eagle Mid Cap Growth Fund highlighted stocks like Vistra Corp. (NYSE:VST) in the Q3 2024 investor letter. Vistra Corp. (NYSE:VST) is an integrated retail electricity and power generation company. The one-month return of Vistra Corp. (NYSE:VST) was 34.33%, and its shares gained 377.94% of their value over the last 52 weeks. On November 21, 2024, Vistra Corp. (NYSE:VST) stock closed at $166.61 per share with a market capitalization of $56.685 billion.

Carillon Eagle Mid Cap Growth Fund stated the following regarding Vistra Corp. (NYSE:VST) in its Q3 2024 investor letter:

Vistra Vistra Corp. (NYSE:VST) is an integrated retail electricity and power generation company. As an independent power producer (IPP), Vistra primarily generates revenue from selling its generated power at the prevailing market price. As a result of recent growth in future power demand, the company’s shares have soared on investors’ expectations for future power prices. The potential for Vistra to announce future power purchase agreements (PPAs) with large technology companies in order to satisfy the extraordinary power requirements of these companies’ artificial intelligence (AI) endeavors, in a similar manner to some of Vistra’s closest IPP peers, has also provided a tailwind for the stock.”

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Vistra Corp. (NYSE:VST) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 97 hedge fund portfolios held Vistra Corp. (NYSE:VST) at the end of the third quarter which was 92 in the previous quarter. While we acknowledge the potential of Vistra Corp. (NYSE:VST) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

In another article, we discussed Vistra Corp. (NYSE:VST) and shared the list of most profitable renewable energy stocks to buy. In addition, please check out our hedge fund investor letters Q3 2024 page for more investor letters from hedge funds and other leading investors.

READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks.

Disclosure: None. This article is originally published at Insider Monkey.

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