NextEra Energy (NEE) Gains As Market Dips: What You Should Know
NextEra Energy (NEE) closed the most recent trading day at $84.83, moving +0.15% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.09%. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq added 0.22%.
Coming into today, shares of the parent company of Florida Power & Light Co. Had gained 9.6% in the past month. In that same time, the Utilities sector gained 6.35%, while the S&P 500 gained 5.55%.
Wall Street will be looking for positivity from NextEra Energy as it approaches its next earnings report date. In that report, analysts expect NextEra Energy to post earnings of $0.54 per share. This would mark year-over-year growth of 31.71%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.76 billion, up 14.09% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.90 per share and revenue of $20.4 billion. These totals would mark changes of +13.73% and +19.5%, respectively, from last year.
Any recent changes to analyst estimates for NextEra Energy should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. NextEra Energy is currently a Zacks Rank #3 (Hold).
Investors should also note NextEra Energy's current valuation metrics, including its Forward P/E ratio of 29.26. For comparison, its industry has an average Forward P/E of 18.64, which means NextEra Energy is trading at a premium to the group.
It is also worth noting that NEE currently has a PEG ratio of 3.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Utility - Electric Power industry currently had an average PEG ratio of 3.24 as of yesterday's close.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 73, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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NextEra Energy, Inc. (NEE) : Free Stock Analysis Report
