Yahoo Finance NextEra Energy (NEE) Gains As Market Dips: What You Should Know
NextEra Energy (NEE) closed the most recent trading day at $85.29, moving +0.13% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.19%. At the same time, the Dow added 0.01%, and the tech-heavy Nasdaq lost 0.19%.
Prior to today's trading, shares of the parent company of Florida Power & Light Co. Had gained 8.83% over the past month. This has outpaced the Utilities sector's gain of 4.6% and the S&P 500's gain of 4.7% in that time.
Investors will be hoping for strength from NextEra Energy as it approaches its next earnings release. The company is expected to report EPS of $0.54, up 31.71% from the prior-year quarter. 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.
Investors might also notice 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. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. NextEra Energy currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, NextEra Energy is holding a Forward P/E ratio of 29.42. Its industry sports an average Forward P/E of 18.47, so we one might conclude that NextEra Energy is trading at a premium comparatively.
We can also see that NEE currently has a PEG ratio of 3.05. 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 3.2 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 65, which puts it in the top 26% 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
