On Apr 10 the shares of utility holding company
NextEra Energy Inc.
) shot up to a new 52-week high of $80.07 on the back of its
aggressive investments in natural gas and renewable assets.
NextEra Energy's overall record has been inspiring as it posted
earnings surprise in three of the last four quarters resulting in
an average beat of 3.50%.
Positive rate changes, timely execution of capital programs
and steady expansion in the customer base were the principal
factors triggering the stock to reach a new high.
The company's focus on strengthening its natural gas midstream
properties has further unlocked favorable prospects for the
company. Its 345 Kilovolt (KV) transmission program in Texas was
In early Mar 2013, the company successfully carried out the
sale-off of its non-core hydro generating assets in White Pine
Hydro Investments LLC to Brookfield Renewable Energy Partners
L.P. The proceeds from the non-core asset sale will help NextEra
Energy to invest in high-growth businesses.
Meanwhile, its strong position in the renewable field is
something to look out for. NextEra's 1,263 megawatt wind programs
have come into operation while its large-scale international
solar projects are lined up for the next few years. Clean energy
generation is gradually finding increasing traction in the U.S.
boding well for NextEra Energy.
Continuous modernization work will also ensure greater
reliability and smooth electrical services to consumers in
Florida thereby retaining their loyalty. The long-term expected
earnings growth for the company is set at 5.95% while the Zacks
Consensus Estimate for 2013 jumped 7.59% to $4.92 from $4.57 in
The company currently carries a Zacks Rank #3 (Hold). Other
utility stocks performing well are Zacks Rank #1 (Strong Buy)
Brookfield Infrastructure Partners L.P.
Pike Electric Corp.
Empresa Nacional Electricidad SA
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