NextEra Energy (NEE) Stock Price, News & Analysis

Company Overview

NextEra Energy, Inc. is the largest electric utility holding company in the US. It operates a network of power generation and distribution facilities that include fossil-fuel-generated and green energy. As of mid-2022, the company was capable of generating 58 GW of electricity with nearly 60% of the load produced by green sources including wind and solar. In their view, going green isn’t an option, it’s the solution. NextEra Energy has been recognized multiple times as a leader in clean energy and ESG practices and was ranked the #1 electric and gas utility on the Forbes list of Most Admired Companies.

The company is the result of several mergers that begin with FPL Group. FPL Group is now a subsidiary of NextEra Energy and the third-largest provider of electricity in the US servicing nearly half of Florida. FPL and its affiliates are the single largest provider of renewable energy generated from wind and sun. The group changed its name in 2010 following a decision to shift focus onto renewable energy sources.

Today, NextEra Energy, Inc through its subsidiary FPL serves about 12 million people in eastern and southwestern Florida. The company employs nearly 14,900 people who service 5.8 million accounts. The company is in business to generate, transmit, and distribute electricity to retail and wholesale clients. Electricity is generated through wind, solar, nuclear, natural gas, and coal-fired facilities.

The company is also engaged in the construction and operation of new facilities, specifically renewable power generation, storage, and delivery facilities, and can offer custom solutions tailored to any need. Offerings include tailored services to assist businesses with their transition to clean energy.

NextEra Energy also owns and operates 7 nuclear power stations in Florida, New Hampshire, and Wisconsin generating power for the wholesale market.

Unlike other companies that are targeting net-zero emissions, NextEra Energy has a plan to reach real zero and is investing heavily to reach that goal by 2045. The company had invested nearly $50 billion in green energy infrastructure and initiatives by mid-2022. The plan is to first work on reducing its own emissions and then take its knowledge and expertise to the world.

 

Written by Jeffrey Neal Johnson

Key Stats

• Today's Range: $75.76 to $77.54
• 50-Day Range: $74.24 to $85.43
• 52-Week Range: $53.95 to $86.10
• Volume: 8.14 million shs
• Average Volume: 10.89 million shs
• Market Capitalization: $156.29 billion
• P/E Ratio: 22.49
• Dividend Yield: 2.71%
• Price Target: $86.85
• Consensus Rating: Moderate Buy

NextEra Energy Stock Analysis - MarketRank™

NextEra Energy scored higher than 98% of companies evaluated by MarketBeat, and ranked 3rd out of 92 stocks in the utilities sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.3 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

NextEra Energy has received a consensus rating of Moderate Buy. The company's average rating score is 2.50, and is based on 7 buy ratings, 7 hold ratings, and no sell ratings.

Amount of Analyst Coverage

NextEra Energy has been the subject of 9 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 2.5 / 5
• Proj. Earnings Growth: 7.62%

Earnings Growth

Earnings for NextEra Energy are expected to grow by 7.62% in the coming year, from $3.41 to $3.67 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of NextEra Energy is 22.49, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 128.17.

Price to Earnings Ratio vs. Sector

The P/E ratio of NextEra Energy is 22.49, which means that it is trading at a less expensive P/E ratio than the Utilities sector average P/E ratio of about 102.12.

Price to Earnings Growth Ratio

NextEra Energy has a PEG Ratio of 2.78. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

NextEra Energy has a P/B Ratio of 2.63. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: 3.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.57% of the outstanding shares of NextEra Energy have been sold short.

Short Interest Ratio / Days to Cover

NextEra Energy has a short interest ratio ("days to cover") of 3.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in NextEra Energy has recently increased by 15.15%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 4.2 / 5
• Dividend Strength: Strong

Dividend Yield

NextEra Energy pays a meaningful dividend of 2.67%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

NextEra Energy has been increasing its dividend for 30 years.

Dividend Coverage

The dividend payout ratio of NextEra Energy is 60.95%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, NextEra Energy will have a dividend payout ratio of 56.13% next year. This indicates that NextEra Energy will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 2.6 / 5
• Environmental Score: -2.21

Percentage of Shares Shorted

1.57% of the outstanding shares of NextEra Energy have been sold short.

Short Interest Ratio / Days to Cover

NextEra Energy has a short interest ratio ("days to cover") of 3.5, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in NextEra Energy has recently increased by 15.15%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 3.1 / 5
• News Sentiment: 1.63

News Sentiment

NextEra Energy has a news sentiment score of 1.63. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.71 average news sentiment score of Utilities companies.

News Coverage This Week

MarketBeat has tracked 39 news articles for NextEra Energy this week, compared to 20 articles on an average week.

Search Interest

Only 53 people have searched for NEE on MarketBeat in the last 30 days. This is a decrease of -30% compared to the previous 30 days.

MarketBeat Follows

Only 27 people have added NextEra Energy to their MarketBeat watchlist in the last 30 days. This is a decrease of -31% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, NextEra Energy insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $302,809.00 in company stock.

Percentage Held by Insiders

Only 0.18% of the stock of NextEra Energy is held by insiders.

Percentage Held by Institutions

78.72% of the stock of NextEra Energy is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

NEE Stock Analysis - Frequently Asked Questions

How have NEE shares performed this year?

NextEra Energy's stock was trading at $60.74 at the beginning of 2024. Since then, NEE shares have increased by 25.1% and is now trading at $76.00.
View the best growth stocks for 2024 here.

How were NextEra Energy's earnings last quarter?

NextEra Energy, Inc. (NYSE:NEE) announced its quarterly earnings results on Wednesday, October, 23rd. The utilities provider reported $1.03 earnings per share for the quarter, beating the consensus estimate of $0.98 by $0.05. The business's revenue for the quarter was up 5.5% on a year-over-year basis.
Read the conference call transcript.

When did NextEra Energy's stock split?

NextEra Energy shares split before market open on Tuesday, October 27th 2020. The 4-1 split was announced on Monday, September 14th 2020. The newly issued shares were distributed to shareholders after the market closes on Monday, October 26th 2020. An investor that had 100 shares of stock prior to the split would have 400 shares after the split.

Does NextEra Energy have any subsidiaries?

NextEra Energy subsidiaries include these companies: Florida City Gas, Gulf Power, Gulf Power Company, Oncor Electric Delivery Company, Smart Energy Capital, WindLogics, Florida Power & Light Company, and more.

Who are NextEra Energy's major shareholders?

Top institutional investors of NextEra Energy include Geode Capital Management LLC (2.06%), Charles Schwab Investment Management Inc. (0.65%), UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC (0.55%) and Barclays PLC. Insiders that own company stock include Nextera Energy Inc, John W Ketchum, Charles E Sieving, Armando Pimentel Jr, Amy B Lane, Terrell Kirk Crews II, Miguel Arechabala, Ronald R Reagan, Nicole J Daggs, Kirk S Hachigian, Nicole S Arnaboldi, Robert Coffey, James Lawrence Camaren, James L Robo, Rebecca J Kujawa, Naren K Gursahaney and Eric E Silagy.
View institutional ownership trends.

How do I buy shares of NextEra Energy?

Shares of NEE stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of NextEra Energy own?

Based on aggregate information from My MarketBeat watchlists, some other companies that NextEra Energy investors own include Cuisine Solutions (CUSI), InnerScope Hearing Technologies (INND), Johnson & Johnson (JNJ), UnitedHealth Group (UNH), Gilead Sciences (GILD), Corning (GLW) and American Tower (AMT).

Company Calendar

• Ex-Dividend for 9/16 Dividend: 8/30/2024
• Dividend Payable: 9/16/2024
• Last Earnings: 10/23/2024
• Today: 11/22/2024
• Ex-Dividend for 12/16 Dividend: 11/22/2024
• Dividend Payable: 12/16/2024
• Fiscal Year End: 12/31/2024
• Next Earnings (Estimated): 1/23/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Utilities
• Industry: Electric services
• Sub-Industry: Electric Utilities
• Current Symbol: NYSE:NEE
• CUSIP: 65339F10
• CIK: 753308
• Web: www.nexteraenergy.com
• Phone: (561) 694-4000
• Fax: 561-694-4999
• Employees: 16,800
• Year Founded: 1997

Price Target and Rating

• Average Stock Price Target: $86.54
• High Stock Price Target: $102.00
• Low Stock Price Target: $71.00
• Potential Upside/Downside: +13.3%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.50
• Research Coverage: 14 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $3.38
• Trailing P/E Ratio: 22.61
• Forward P/E Ratio: 22.41
• P/E Growth: 2.78
• Net Income: $7.31 billion
• Net Margins: 26.49%
• Pretax Margin: 23.15%
• Return on Equity: 11.94%
• Return on Assets: 3.86%

Debt

• Debt-to-Equity Ratio: 1.11
• Current Ratio: 0.41
• Quick Ratio: 0.33

Sales & Book Value

• Annual Sales: $28.11 billion
• Price / Sales: 5.59
• Cash Flow: $6.08 per share
• Price / Cash Flow: 12.56
• Book Value: $28.95 per share
• Price / Book: 2.64

Miscellaneous

• Outstanding Shares: 2,056,410,000
• Free Float: 2,052,703,000
• Market Cap: $157.13 billion
• Optionable: Optionable
• Beta: 0.57