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NextEra Energy (NEE) Exceeds Market Returns: Some Facts to Consider
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In the latest trading session, NextEra Energy (NEE - Free Report) closed at $72.90, marking a +1.08% move from the previous day. The stock exceeded the S&P 500, which registered a gain of 1.02% for the day. Meanwhile, the Dow experienced a rise of 1.09%, and the technology-dominated Nasdaq saw an increase of 1.18%.
The parent company of Florida Power & Light Co.'s stock has dropped by 0.85% in the past month, exceeding the Utilities sector's loss of 4.45% and lagging the S&P 500's gain of 4.44%.
Analysts and investors alike will be keeping a close eye on the performance of NextEra Energy in its upcoming earnings disclosure. On that day, NextEra Energy is projected to report earnings of $0.92 per share, which would represent year-over-year growth of 4.55%. Alongside, our most recent consensus estimate is anticipating revenue of $7.24 billion, indicating a 1.47% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $3.40 per share and a revenue of $28.64 billion, demonstrating changes of +7.26% and +1.87%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for NextEra Energy. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.2% rise in the Zacks Consensus EPS estimate. Currently, NextEra Energy is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, NextEra Energy is presently being traded at a Forward P/E ratio of 21.2. This represents a premium compared to its industry's average Forward P/E of 15.44.
We can also see that NEE currently has a PEG ratio of 2.47. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Utility - Electric Power industry had an average PEG ratio of 2.51 as trading concluded yesterday.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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NextEra Energy (NEE) Exceeds Market Returns: Some Facts to Consider
In the latest trading session, NextEra Energy (NEE - Free Report) closed at $72.90, marking a +1.08% move from the previous day. The stock exceeded the S&P 500, which registered a gain of 1.02% for the day. Meanwhile, the Dow experienced a rise of 1.09%, and the technology-dominated Nasdaq saw an increase of 1.18%.
The parent company of Florida Power & Light Co.'s stock has dropped by 0.85% in the past month, exceeding the Utilities sector's loss of 4.45% and lagging the S&P 500's gain of 4.44%.
Analysts and investors alike will be keeping a close eye on the performance of NextEra Energy in its upcoming earnings disclosure. On that day, NextEra Energy is projected to report earnings of $0.92 per share, which would represent year-over-year growth of 4.55%. Alongside, our most recent consensus estimate is anticipating revenue of $7.24 billion, indicating a 1.47% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $3.40 per share and a revenue of $28.64 billion, demonstrating changes of +7.26% and +1.87%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for NextEra Energy. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.2% rise in the Zacks Consensus EPS estimate. Currently, NextEra Energy is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, NextEra Energy is presently being traded at a Forward P/E ratio of 21.2. This represents a premium compared to its industry's average Forward P/E of 15.44.
We can also see that NEE currently has a PEG ratio of 2.47. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Utility - Electric Power industry had an average PEG ratio of 2.51 as trading concluded yesterday.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.