NextEra Energy (NEE) closed the most recent trading day at $83.54, moving -0.51% from the previous trading session. This move was narrower than the S&P 500's daily loss of 0.84%. Meanwhile, the Dow lost 0.36%, and the Nasdaq, a tech-heavy index, lost 0.19%.
Coming into today, shares of the parent company of Florida Power & Light Co. Had lost 5.34% in the past month. In that same time, the Utilities sector lost 6.72%, while the S&P 500 lost 10.24%.
Investors will be hoping for strength from NextEra Energy as it approaches its next earnings release. On that day, NextEra Energy is projected to report earnings of $0.77 per share, which would represent year-over-year growth of 2.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.28 billion, up 43.72% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.89 per share and revenue of $20.2 billion. These totals would mark changes of +13.33% and +18.34%, respectively, from last year.
Any recent changes to analyst estimates for NextEra Energy 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Over the past month, the Zacks Consensus EPS estimate has moved 0.29% higher. NextEra Energy is currently sporting a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that NextEra Energy has a Forward P/E ratio of 29.07 right now. For comparison, its industry has an average Forward P/E of 18.73, which means NextEra Energy is trading at a premium to the group.
Investors should also note that NEE has a PEG ratio of 3.01 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Utility - Electric Power industry currently had an average PEG ratio of 3.19 as of yesterday's close.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 80, putting it in the top 32% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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NextEra Energy, Inc. (NEE): Free Stock Analysis Report
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