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NextEra Energy (NEE) Dips More Than Broader Markets: What You Should Know
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NextEra Energy (NEE - Free Report) closed the most recent trading day at $66.20, moving -1% from the previous trading session. This change lagged the S&P 500's daily loss of 0.42%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.08%.
Prior to today's trading, shares of the parent company of Florida Power & Light Co. Had lost 2.58% over the past month. This has lagged the Utilities sector's loss of 1.92% and the S&P 500's gain of 1.02% in that time.
Investors will be hoping for strength from NextEra Energy as it approaches its next earnings release. In that report, analysts expect NextEra Energy to post earnings of $0.87 per share. This would mark year-over-year growth of 2.35%. Meanwhile, our latest consensus estimate is calling for revenue of $7.4 billion, up 10.19% from the prior-year quarter.
NEE's full-year Zacks Consensus Estimates are calling for earnings of $3.11 per share and revenue of $27.35 billion. These results would represent year-over-year changes of +7.24% and +30.51%, 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate 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 21.5. For comparison, its industry has an average Forward P/E of 15.67, 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 2.57. 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 was holding an average PEG ratio of 2.68 at yesterday's closing price.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 147, putting it in the bottom 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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NextEra Energy (NEE) Dips More Than Broader Markets: What You Should Know
NextEra Energy (NEE - Free Report) closed the most recent trading day at $66.20, moving -1% from the previous trading session. This change lagged the S&P 500's daily loss of 0.42%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, lost 0.08%.
Prior to today's trading, shares of the parent company of Florida Power & Light Co. Had lost 2.58% over the past month. This has lagged the Utilities sector's loss of 1.92% and the S&P 500's gain of 1.02% in that time.
Investors will be hoping for strength from NextEra Energy as it approaches its next earnings release. In that report, analysts expect NextEra Energy to post earnings of $0.87 per share. This would mark year-over-year growth of 2.35%. Meanwhile, our latest consensus estimate is calling for revenue of $7.4 billion, up 10.19% from the prior-year quarter.
NEE's full-year Zacks Consensus Estimates are calling for earnings of $3.11 per share and revenue of $27.35 billion. These results would represent year-over-year changes of +7.24% and +30.51%, 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate 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 21.5. For comparison, its industry has an average Forward P/E of 15.67, 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 2.57. 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 was holding an average PEG ratio of 2.68 at yesterday's closing price.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 147, putting it in the bottom 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.