NextEra Energy (NEE) Gains But Lags Market: What You Should Know
In the latest trading session, NextEra Energy (NEE) closed at $74.53, marking a +0.7% move from the previous day. The stock lagged the S&P 500's daily gain of 0.74%.
Heading into today, shares of the parent company of Florida Power & Light Co. Had lost 4.82% over the past month, lagging the Utilities sector's gain of 1.65% and the S&P 500's gain of 3.21% in that time.
In that report, analysts expect NEE to post earnings of $0.69 per share. This would mark year-over-year growth of 6.15%. Meanwhile, our latest consensus estimate is calling for revenue of $5.06 billion, up 20.41% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.51 per share and revenue of $20.54 billion. These totals would mark changes of +8.66% and +14.14%, respectively, from last year.
Any recent changes to analyst estimates for NEE should also be noted by investors. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. Within the past 30 days, our consensus EPS projection has moved 0.4% higher. NEE is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, NEE is holding a Forward P/E ratio of 29.45. This valuation marks a premium compared to its industry's average Forward P/E of 19.18.
Meanwhile, NEE's PEG ratio is currently 3.78. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. NEE's industry had an average PEG ratio of 3.6 as of yesterday's close.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 226, which puts it in the bottom 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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, Inc. (NEE) : Free Stock Analysis Report
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