We rate NEXTERA ENERGY INC (NEE) a BUY. This is driven by some important positives, which we believe
should have a greater impact than any weaknesses, and should give investors a better performance
opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its
expanding profit margins, good cash flow from operations and increase in stock price during the past year.
We feel these strengths outweigh the fact that the company has had sub par growth in net income.
35.20% is the gross profit margin for NEXTERA ENERGY INC which we consider to be strong. It has increased
from the same quarter the previous year. Along with this, the net profit margin of 8.29% is above that of the
Net operating cash flow has increased to $1,082.00 million or 29.58% when compared to the same quarter last
year. The firm also exceeded the industry average cash flow growth rate of 17.17%.
Compared to where it was a year ago today, the stock is now trading at a higher level, regardless of the
company's weak earnings results. Turning our attention to the future direction of the stock, it goes without
saying that even the best stocks can fall in an overall down market. However, in any other environment, this
stock still has good upside potential despite the fact that it has already risen in the past year.
NEXTERA ENERGY INC has exprienced a steep decline in earnings per share in the most recent quarter in
comparison to its performance from the same quarter a year ago. The company has suffered a declining
pattern of earnings per share over the past two years. However, we anticipate this trend to reverse over the
coming year. During the past fiscal year, NEXTERA ENERGY INC reported lower earnings of $4.56 versus $4.58
in the prior year. This year, the market expects an improvement in earnings ($4.95 versus $4.56).