Vistra upgraded to Buy at BofA after 27% pullback

As previously reported, BofA upgraded Vistra (VST) to Buy from Neutral with a price target of $152, down from $164. The stock has declined 27% in the last few weeks resulting from the lack of datacenter news. However, the firm views the base business of baseload generation and competitive retail as well-positioned to benefit from tightening markets, increasing demand and retail growth, regardless of datacenter deals, the analyst tells investors. BofA also sees upcoming clarity from FERC and the Texas legislature to spur datacenter deals forward and believes the company’s potential is not reflected in its current valuation.