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How NextEra Energy Stock Is Valued Compared to Its Peers

Vincent Kruger
How NextEra Energy Stock Is Valued Compared to Its Peers

Broader utilities (XLU) have been on a losing streak for the last few months after peaking in November 2017. NextEra Energy (NEE) is currently trading at a PE (price-to-earnings) multiple of 22.0x against its five-year historical average PE of 21.0x. Thus, NextEra Energy stock seems to be trading at a premium to its historical average. NextEra Energy stock has rallied more than 5.0% while the broader utilities have corrected 2.0% so far this year.