NextEra Energy, Inc., through its subsidiaries, generates, transmits, distributes, and sells electric power to retail and wholesale customers in North America. More Details
Average dividend payer with questionable track record.
Share Price & News
How has NextEra Energy's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NEE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: NEE's weekly volatility (4%) has been stable over the past year.
7 Day Return
US Electric Utilities
1 Year Return
US Electric Utilities
Return vs Industry: NEE exceeded the US Electric Utilities industry which returned 11.6% over the past year.
Return vs Market: NEE underperformed the US Market which returned 53.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is NextEra Energy's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StAre Dividend Investors Getting More Than They Bargained For With NextEra Energy, Inc.'s (NYSE:NEE) Dividend?
4 weeks ago | Simply Wall StHow Much Of NextEra Energy, Inc. (NYSE:NEE) Do Institutions Own?
1 month ago | Simply Wall StNextEra Energy (NYSE:NEE) Has Gifted Shareholders With A Fantastic 201% Total Return On Their Investment
Is NextEra Energy undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: NEE ($80.94) is trading above our estimate of fair value ($41.8)
Significantly Below Fair Value: NEE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NEE is poor value based on its PE Ratio (54.3x) compared to the US Electric Utilities industry average (22.8x).
PE vs Market: NEE is poor value based on its PE Ratio (54.3x) compared to the US market (22.5x).
Price to Earnings Growth Ratio
PEG Ratio: NEE is poor value based on its PEG Ratio (4x)
Price to Book Ratio
PB vs Industry: NEE is overvalued based on its PB Ratio (4.3x) compared to the US Electric Utilities industry average (2x).
How is NextEra Energy forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NEE's forecast earnings growth (13.7% per year) is above the savings rate (2%).
Earnings vs Market: NEE's earnings (13.7% per year) are forecast to grow slower than the US market (18.1% per year).
High Growth Earnings: NEE's earnings are forecast to grow, but not significantly.
Revenue vs Market: NEE's revenue (8% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: NEE's revenue (8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NEE's Return on Equity is forecast to be low in 3 years time (12.3%).
How has NextEra Energy performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NEE has high quality earnings.
Growing Profit Margin: NEE's current net profit margins (16.2%) are lower than last year (19.6%).
Past Earnings Growth Analysis
Earnings Trend: NEE's earnings have grown by 3% per year over the past 5 years.
Accelerating Growth: NEE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: NEE had negative earnings growth (-22.5%) over the past year, making it difficult to compare to the Electric Utilities industry average (-2.1%).
Return on Equity
High ROE: NEE's Return on Equity (5.3%) is considered low.
How is NextEra Energy's financial position?
Financial Position Analysis
Short Term Liabilities: NEE's short term assets ($7.4B) do not cover its short term liabilities ($15.6B).
Long Term Liabilities: NEE's short term assets ($7.4B) do not cover its long term liabilities ($67.2B).
Debt to Equity History and Analysis
Debt Level: NEE's debt to equity ratio (107%) is considered high.
Reducing Debt: NEE's debt to equity ratio has reduced from 128.6% to 107% over the past 5 years.
Debt Coverage: NEE's debt is not well covered by operating cash flow (16.6%).
Interest Coverage: NEE's interest payments on its debt are not well covered by EBIT (2.7x coverage).
What is NextEra Energy current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NEE's dividend (1.9%) is higher than the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: NEE's dividend (1.9%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: NEE's dividends per share have been stable in the past 10 years.
Growing Dividend: NEE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (94%), NEE's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NEE's dividends in 3 years are forecast to be covered by earnings (64.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jim Robo (57 yo)
Mr. James L. Robo, also known as Jim, has been Chairman of the Board and Chief Executive Officer of NextEra Energy Partners, LP since August 2017 and serves as its Director since 2017. Mr. Robo was the Cha...
CEO Compensation Analysis
Compensation vs Market: Jim's total compensation ($USD23.72M) is above average for companies of similar size in the US market ($USD11.14M).
Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.
Experienced Management: NEE's management team is seasoned and experienced (5.7 years average tenure).
Experienced Board: NEE's board of directors are considered experienced (8.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
NextEra Energy, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: NextEra Energy, Inc.
- Ticker: NEE
- Exchange: NYSE
- Founded: 1925
- Industry: Electric Utilities
- Sector: Utilities
- Market Cap: US$158.562b
- Shares outstanding: 1.96b
- Website: https://www.nexteraenergy.com
Number of Employees
- NextEra Energy, Inc.
- 700 Universe Boulevard
- Juno Beach
- United States
NextEra Energy, Inc., through its subsidiaries, generates, transmits, distributes, and sells electric power to retail and wholesale customers in North America. The company generates electricity through win...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/17 23:03|
|End of Day Share Price||2021/04/16 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.