10 Most Undervalued Stocks to Buy and Hold for 5 Years

5. NRG Energy Inc. (NYSE:NRG)

Forward P/E Ratio as of September 30: 19.65

EPS Forward Long Term Growth (3-5 Year CAGR): 15.70%

Number of Hedge Fund Holders: 73

NRG Energy Inc. (NYSE:NRG) is one of the most undervalued stocks to buy and hold for 5 years. On September 23, LandBridge Company LLC (NYSE:LB) announced that it has entered into a strategic agreement with NRG Energy regarding a potential data center site in Reeves County, Texas, located in the Delaware Basin.

The collaboration is a significant step in LandBridge’s powered land strategy, highlighting its value to both power generators and digital infrastructure developers. The site is being explored to potentially host a 1,100 MW grid-connected natural gas power generation facility, which NRG could construct if a suitable power purchase agreement is secured with a data center customer.

If the project progresses, initial air permit applications and electric interconnection requests have been submitted for an in-service date as early as year-end 2029. LandBridge’s site is advantageous due to its location adjacent to the Waha Gas market hub, providing direct access to substantial existing low-cost natural gas and transmission infrastructure to support the region and future operations.

NRG Energy Inc. (NYSE:NRG) is an energy and home services company in the US and Canada. It serves residential, commercial, government, industrial, and wholesale customers.

LandBridge Company (NYSE:LB) owns and manages land and resources to support and enhance oil and natural gas development in the US.