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How NextEra Energy Stock Is Valued before Its Q3 2018 Earnings

Vincent Kruger
How NextEra Energy Stock Is Valued before Its Q3 2018 Earnings

NextEra Energy (NEE) stock is trading at a forward PE (price-to-earnings) multiple of ~21.0x based on its expected EPS for 2019. Its forward PE multiple is higher than its five-year historical average PE valuation of ~20.0x. Utilities typically trade at an average forward PE multiple of ~16.0x. So, NEE stock looks expensive given its historical valuation and its 8.0% estimated earnings growth for 2019.