New York, Jan 13, 2026, 15:24 (EST) — Regular session
- Vistra shares ticked up roughly 0.2% in afternoon trading following the pricing of $2.25 billion in senior secured notes.
- Fitch assigned a ‘BBB-’ rating to the proposed notes and maintained a positive outlook; Scotiabank raised its price target to $293.
- Investors are assessing funding options for the Cogentrix gas plant acquisition alongside long-term Meta nuclear contracts.
Shares of Vistra Corp (VST.N) nudged up 0.2% to $172.95 on Tuesday, following the announcement that the power producer priced $2.25 billion in senior secured notes. The move aims to back its planned acquisition of Cogentrix. Vistra’s stock fluctuated between $170.85 and $177.76 during the session. The newly issued notes, maturing in 2031 and 2036, carry interest rates of 4.700% and 5.350%, respectively, with a closing date set for Jan. 22, according to the company. 1
The debt sale puts Vistra’s balance sheet under the microscope as U.S. power stocks have turned into a quick proxy for surging data-center demand and tightening grids. Investors are weighing how much the company can rely on long-term contracts while expanding its asset base and managing leverage levels.
Fitch gave the proposed notes a ‘BBB-’ rating and reaffirmed Vistra’s long-term issuer ratings at ‘BB+,’ maintaining a positive outlook. The agency compared Vistra to peers like NRG Energy and Calpine. It expects Vistra’s gross leverage to stay between 3.0x and 3.5x in 2026-27, supported by a hedged generation portfolio and a PJM capacity auction that hit the cap at $333.44 per megawatt-day. Capacity prices, which compensate plants for availability rather than power output, played a key role. 2
Scotiabank’s Andrew Weisel bumped his price target to $293 and maintained an Outperform rating, citing strong Meta contracts that he believes will “catapult” Vistra into a top spot among independent power producers. Meanwhile, UBS raised its target to $233 and kept a buy rating, according to Investing.com. 3
On Jan. 9, Vistra announced it had inked 20-year power purchase agreements (PPAs) with Meta Platforms, securing more than 2,600 megawatts of nuclear power from three plants within PJM, the mid-Atlantic grid operator. “Vistra is proud to partner with Meta on these long-term power purchase agreements,” said CEO Jim Burke. Meta’s global energy head, Urvi Parekh, highlighted the company’s focus on nuclear for its “clean, reliable power” essential to advancing its AI goals. 4
A recent regulatory filing detailed the division: Meta will draw 1,268 MW from Vistra’s active Perry unit and 908 MW from Davis-Besse, with the remainder linked to “uprates” — upgrades that increase output — at Perry, Davis-Besse, and Beaver Valley. Vistra expects deliveries to kick off in late 2026, hit full capacity by the end of 2027, and roll out the uprates through 2034, starting capital expenditures in 2026. Once at full delivery, the PPAs should boost adjusted free cash flow by about 8%-10%, with an additional 5%-7% gain from the uprates. 5
The new debt also backs Vistra’s $4.7 billion deal to acquire Cogentrix Energy, which operates 10 natural-gas plants totaling around 5,500 megawatts across multiple U.S. power markets. Burke described the portfolio as “a great way to start another year of growth.” Vistra expects to close the acquisition in mid-to-late 2026. 6
Meta’s nuclear ambitions are reshaping the energy landscape. The tech giant is backing advanced reactor projects with Oklo and TerraPower, and has inked a deal for 2025 with Constellation Energy to keep an Illinois reactor operational. This string of agreements has put nuclear-heavy players like Vistra and Constellation under the spotlight. Meanwhile, gas-focused companies face scrutiny over their strategies to secure new demand. 7
Jefferies isn’t buying the hype. The firm slashed its price target to $191 this week, citing uncertainty in PJM. They flagged how policy shifts and auction results could throw power revenues off balance. With interest rates climbing and the power-price curve softening, there’s less wiggle room for buybacks and long-term nuclear upgrade investments. 8
Traders are focused on whether the note offering settles as planned on Jan. 22 and how it might impact Vistra’s cost of capital as the Cogentrix integration approaches. New data-center supply contracts, whether nuclear or gas, could shake the stock more than daily shifts in power prices.
