The business behind the dividend
| Measure | VST | Median | Formula |
|---|---|---|---|
| Return on equity | 18.5% | 11.7% | Net income ÷ shareholders’ equity |
| Return on capital employed | 8.6% | 10.1% | Operating income ÷ (equity + total debt) |
| Owner earnings | $178.00m | $632.00m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $1.32bn | $746.10m | Operating cash flow − capital expenditure |
| Operating margin | 10.8% | 15.0% | Operating income ÷ revenue |
| Net margin | 5.4% | 10.2% | Net income ÷ revenue |
| Debt to equity | 3.34x | 0.79x | Total debt ÷ shareholders’ equity |
| Interest cover | 1.62x | 4.43x | Operating income ÷ interest expense |
| Current ratio | 0.78x | 1.25x | Current assets ÷ current liabilities |
| Long-term debt to working capital | — | — | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 4.31x | 1.78x | Operating cash flow ÷ net income |
Not computed here: Long-term debt to working capital — why a blank is not a zero.
Ten years of it
The same measures, for every year the filings support. One year is a fact; a row is a business.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | Median |
|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 18.5% | 47.7% | 28.1% | -25.0% | -15.4% | 7.6% | 11.7% | -0.7% | -4.0% | 7.6% |
| Return on capital employed | 8.6% | 18.7% | 13.5% | -7.0% | -8.1% | 8.6% | 11.0% | 2.6% | 1.8% | 8.6% |
| Operating margin | 10.8% | 27.6% | 19.3% | -7.5% | -8.6% | 14.0% | 17.3% | 5.0% | 3.6% | 10.8% |
| Net margin | 5.4% | 18.0% | 10.8% | -7.8% | -7.2% | 5.9% | 8.0% | -0.6% | -4.7% | 5.4% |
| Debt to equity | 3.34x | 2.93x | 2.71x | 2.43x | 1.26x | 1.10x | 1.27x | 1.38x | 0.69x | 1.38x |
| Current ratio | 0.78x | 0.96x | 1.18x | 1.08x | 1.35x | 1.13x | 0.90x | 0.95x | 1.98x | 1.08x |
| Cash conversion | 4.31x | 1.72x | 3.65x | — | — | 5.25x | 2.95x | — | — | 3.65x |
How it compares in utilities
Among the 57 utilities companies here measured on GAAP earnings, Vistra pays out less than 48 of them. The median for that group is 61.5%, against this company’s 41.4%.
Closest on GAAP earnings
- Southwest Gas Holdings (SWX) 40.8%
- NRG Energy (NRG) 43.9%
- Targa Resources (TRGP) 44.2%
- Chesapeake Utilities (CPK) 45.1%
Same sector and same denominator, so the figures are comparable. All 58 in utilities →