Moody's raises its outlook on NRG Energy to stable

NEW YORK—Moody's Investors Service raised its outlook on NRG Energy Inc. to stable from negative, citing anticipated stable cash flow.

The revised outlook also accounts for the "execution of a more balanced capital allocation program, and the continued use of joint ventures and other arrangements which mitigate risk and lower future capital expenditure requirements," Moody's Senior Credit Officer A.J. Sabatelle said in a statement late Monday.

The agency also lifted the unregulated power producer's speculative grade liquidity rating to "SGL-1" from "SGL-2" and maintained all of its ratings.