NRG Energy

Halal Rating :
Comfortable
Last Price $119
Market Cap $23.64b
1D Change

-0.21 %

1 Year Change

53.14 %

Next Earnings Date

Yet to be announced

Company Overview

NRG Energy, Inc. operates as an integrated power company in the United States. The company owns and leases power generation portfolio with approximately 18,000 megawatts of capacity at 25 plants. It generates electricity using natural gas, coal, oil, solar, nuclear, and battery storage.

Revenue Sources

Pass

Based on NRG Energy's SEC filings and financial statements, the company's primary revenue streams come from electricity generation, retail power supply, and related energy services. These core business activities are halal as they involve the provision of essential services and legitimate commerce. The company does not derive significant revenue from prohibited activities such as gambling, alcohol, tobacco, or other haram sources.

Reliance on Interest

Reporting Date Total Revenue Total Expense Interest Income Interest Expense Interest Income Ratio Interest Expense Ratio
Dec. 31, 2024 $6.82b $6.11b - $245.0m 0.00% 4.01%
Sept. 30, 2024 $7.22b $8.25b - $213.0m 0.00% 2.58%
June 30, 2024 $6.66b $5.61b - $365.0m 0.00% 6.50%
March 31, 2024 $7.43b $6.77b - $210.0m 0.00% 3.10%

Analyzing the last four quarters of financial data, interest expenses as a percentage of total expenses have been relatively consistent. The interest expense ratios for the past four quarters ranged between 1.4% and 6.5% of total expenses. While the company does carry debt and incurs interest expenses, these levels are within acceptable limits for operational purposes and do not indicate that interest is a core part of the business model.

Operational Ethics

Pass

After reviewing NRG Energy's operations, partnerships, and public disclosures, there is no evidence of significant ongoing associations with entities involved in human rights violations. The company's operations are primarily focused in the United States, and there are no documented substantial ties to Israel or the Chinese Communist Party.

Rating Justification

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