We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
4 Reasons to Add NextEra Energy (NEE) to Your Portfolio Now
Read MoreHide Full Article
Earnings estimates for NextEra Energy Inc. (NEE - Free Report) have been revised upward over the past 60 days, reflecting analysts’ optimism surrounding the stock. The Zacks Consensus Estimate for 2019 and 2020 earnings has moved up 0.4% and 0.2%, respectively, during the said period.
NextEra Energy and its subsidiaries are engaged in generation, transmission, distribution, and sale of electric energy.
Let’s focus on the factors that make NextEra Energy a good investment option at the moment.
Price Movement
In the past six months, NextEra Energy’s shares have gained 12.8% compared with its industry’s growth of 11.8%.
Return on Equity (ROE)
NextEra Energy’s ROE of 10.01% compared with the industry average of 9.18% indicates efficiency in utilizing its shareholders’ funds.
Long-Term Growth and Dividend Yield
The company’s long-term (three to five years) earnings growth is pegged at 7.74%, courtesy of strong economic conditions, well chalked-out capital investment plan, natural gas pipeline projects, renewable generation assets and acquisition of natural gas assets.
The current dividend yield of the company is 2.61% compared with the Zacks S&P 500 Composite’s average of 1.96%.
Earnings Surprise Trend & Estimate Revision
NextEra Energy beat estimates in three out of the last four quarters, with the average positive surprise being 2.52%. Its earnings estimates for 2019 and 2020 indicate 9.09% and 8.12% year-over-year increase to $8.40 and $9.08 per share, respectively.
Other top-ranked stocks from the same industry include Pinnacle West Capital Corporation (PNW - Free Report) , The Southern Company (SO - Free Report) and Xcel Energy Inc. (XEL - Free Report) , each holding a Zacks Rank of 2.
Pinnacle West Capital pulled off average positive earnings surprise of 13.29% in the last three quarters. The Zacks Consensus Estimate for 2019 earnings has been revised 1.03% upward to $4.86 per share over the past 60 days.
Southern Company reported average positive earnings surprise of 7.85% in the trailing four quarters. The Zacks Consensus Estimate for 2019 earnings has moved 0.7% north to $3.03 per share over the past 60 days.
Xcel Energy surpassed estimates in three out of the trailing four quarters, resulting in average positive surprise of 5.09%. The Zacks Consensus Estimate for 2019 earnings has moved 0.03% north to $2.62 over the past 60 days.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-holds for the year?
Who wouldn't? Our annual Top 10s have beaten the market with amazing regularity. In 2018, while the market dropped -5.2%, the portfolio scored well into double-digits overall with individual stocks rising as high as +61.5%. And from 2012-2017, while the market boomed +126.3, Zacks' Top 10s reached an even more sensational +181.9%.
Image: Bigstock
4 Reasons to Add NextEra Energy (NEE) to Your Portfolio Now
Earnings estimates for NextEra Energy Inc. (NEE - Free Report) have been revised upward over the past 60 days, reflecting analysts’ optimism surrounding the stock. The Zacks Consensus Estimate for 2019 and 2020 earnings has moved up 0.4% and 0.2%, respectively, during the said period.
NextEra Energy and its subsidiaries are engaged in generation, transmission, distribution, and sale of electric energy.
Let’s focus on the factors that make NextEra Energy a good investment option at the moment.
Price Movement
In the past six months, NextEra Energy’s shares have gained 12.8% compared with its industry’s growth of 11.8%.
Return on Equity (ROE)
NextEra Energy’s ROE of 10.01% compared with the industry average of 9.18% indicates efficiency in utilizing its shareholders’ funds.
Long-Term Growth and Dividend Yield
The company’s long-term (three to five years) earnings growth is pegged at 7.74%, courtesy of strong economic conditions, well chalked-out capital investment plan, natural gas pipeline projects, renewable generation assets and acquisition of natural gas assets.
The current dividend yield of the company is 2.61% compared with the Zacks S&P 500 Composite’s average of 1.96%.
Earnings Surprise Trend & Estimate Revision
NextEra Energy beat estimates in three out of the last four quarters, with the average positive surprise being 2.52%. Its earnings estimates for 2019 and 2020 indicate 9.09% and 8.12% year-over-year increase to $8.40 and $9.08 per share, respectively.
Zacks Rank & Other Key Picks
NextEra Energy currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other top-ranked stocks from the same industry include Pinnacle West Capital Corporation (PNW - Free Report) , The Southern Company (SO - Free Report) and Xcel Energy Inc. (XEL - Free Report) , each holding a Zacks Rank of 2.
Pinnacle West Capital pulled off average positive earnings surprise of 13.29% in the last three quarters. The Zacks Consensus Estimate for 2019 earnings has been revised 1.03% upward to $4.86 per share over the past 60 days.
Southern Company reported average positive earnings surprise of 7.85% in the trailing four quarters. The Zacks Consensus Estimate for 2019 earnings has moved 0.7% north to $3.03 per share over the past 60 days.
Xcel Energy surpassed estimates in three out of the trailing four quarters, resulting in average positive surprise of 5.09%. The Zacks Consensus Estimate for 2019 earnings has moved 0.03% north to $2.62 over the past 60 days.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-holds for the year?
Who wouldn't? Our annual Top 10s have beaten the market with amazing regularity. In 2018, while the market dropped -5.2%, the portfolio scored well into double-digits overall with individual stocks rising as high as +61.5%. And from 2012-2017, while the market boomed +126.3, Zacks' Top 10s reached an even more sensational +181.9%.
See Latest Stocks Today >>