In the latest trading session, NextEra Energy (NEE) closed at $85.06, marking a -0.75% move from the previous day. This change was narrower than the S&P 500's 0.78% loss on the day. At the same time, the Dow lost 0.88%, and the tech-heavy Nasdaq lost 0.26%.
Coming into today, shares of the parent company of Florida Power & Light Co. Had gained 0.04% in the past month. In that same time, the Utilities sector lost 0.06%, while the S&P 500 lost 3.4%.
Investors will be hoping for strength from NextEra Energy as it approaches its next earnings release. On that day, NextEra Energy is projected to report earnings of $0.77 per share, which would represent year-over-year growth of 2.67%. Meanwhile, our latest consensus estimate is calling for revenue of $6.26 billion, up 43.15% from the prior-year quarter.
NEE's full-year Zacks Consensus Estimates are calling for earnings of $2.88 per share and revenue of $20.4 billion. These results would represent year-over-year changes of +12.94% and +19.5%, respectively.
Investors should also note any recent changes to analyst estimates for NextEra Energy. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.52% higher. NextEra Energy currently has a Zacks Rank of #2 (Buy).
Digging into valuation, NextEra Energy currently has a Forward P/E ratio of 29.76. For comparison, its industry has an average Forward P/E of 19.59, which means NextEra Energy is trading at a premium to the group.
We can also see that NEE currently has a PEG ratio of 3.2. 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. Utility - Electric Power stocks are, on average, holding a PEG ratio of 3.26 based on yesterday's closing prices.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 62, which puts it in the top 25% 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.
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NextEra Energy, Inc. (NEE) : Free Stock Analysis Report
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