Is Nextera Energy Stock a Good Investment?
Nextera Energy Investment Advice | NEE |
- Examine Nextera Energy's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Nextera Energy's leadership team and their track record. Good management can help Nextera Energy navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Electric Utilities space and any emerging trends that could impact Nextera Energy's business and its evolving consumer preferences.
- Compare Nextera Energy's performance and market position to its competitors. Analyze how Nextera Energy is positioned in terms of product offerings, innovation, and market share.
- Check if Nextera Energy pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Nextera Energy's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Nextera Energy stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Nextera Energy is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Nextera Energy Stock
Researching Nextera Energy's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 83.0% of the company shares are owned by institutional investors. The book value of Nextera Energy was now reported as 24.34. The company has Price/Earnings To Growth (PEG) ratio of 2.82. Nextera Energy last dividend was issued on the 22nd of November 2024. The entity had 4:1 split on the 27th of October 2020.
To determine if Nextera Energy is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Nextera Energy's research are outlined below:
| Nextera Energy generated a negative expected return over the last 90 days | |
| Nextera Energy has 73.21 B in debt with debt to equity (D/E) ratio of 1.39, which is OK given its current industry classification. Nextera Energy has a current ratio of 0.45, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for Nextera to invest in growth at high rates of return. | |
| Over 83.0% of Nextera Energy shares are owned by institutional investors | |
| On 16th of December 2024 Nextera Energy paid $ 0.515 per share dividend to its current shareholders |
Nextera Energy uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Nextera Energy. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Nextera Energy's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 23rd of April 2024 Upcoming Quarterly Report | View | |
| 23rd of July 2024 Next Financial Report | View | |
| 31st of March 2024 Next Fiscal Quarter End | View | |
| 23rd of January 2025 Next Fiscal Year End | View | |
| 31st of December 2023 Last Quarter Report | View | |
| 31st of December 2023 Last Financial Announcement | View |
Nextera Energy's market capitalization trends
The company currently falls under 'Mega-Cap' category with a total capitalization of 146.77 B.Nextera Energy's profitablity analysis
The company has Net Profit Margin of 0.26 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.36 %, which entails that for every 100 dollars of revenue, it generated $0.36 of operating income.Determining Nextera Energy's profitability involves analyzing its financial statements and using various financial metrics to determine if Nextera Energy is a good buy. For example, gross profit margin measures Nextera Energy's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Nextera Energy's profitability and make more informed investment decisions.
Please note, the presentation of Nextera Energy's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Nextera Energy's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Nextera Energy's management manipulating its earnings.
Basic technical analysis of Nextera Stock
As of the 18th of January 2025, Nextera Energy secures the Risk Adjusted Performance of (0.13), mean deviation of 1.2, and Standard Deviation of 1.62. In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Nextera Energy, as well as the relationship between them. Please verify Nextera Energy information ratio, and the relationship between the coefficient of variation and value at risk to decide if Nextera Energy is priced some-what accurately, providing market reflects its recent price of 70.76 per share. Given that Nextera Energy has information ratio of (0.18), we recommend you to check Nextera Energy's last-minute market performance to make sure the company can sustain itself at a future point.Nextera Energy's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Nextera Energy insiders, such as employees or executives, is commonly permitted as long as it does not rely on Nextera Energy's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Nextera Energy insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Arnaboldi Nicole S over a month ago Acquisition by Arnaboldi Nicole S of tradable shares of Nextera Energy subject to Rule 16b-3 | ||
Armando Pimentel over three months ago Disposition of 99412 shares by Armando Pimentel of Nextera Energy at 25.905 subject to Rule 16b-3 | ||
Lynn Utter over a year ago Acquisition by Lynn Utter of 299 shares of Nextera Energy subject to Rule 16b-3 |
Nextera Energy's Outstanding Corporate Bonds
Nextera Energy issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Nextera Energy uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Nextera bonds can be classified according to their maturity, which is the date when Nextera Energy has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| US65339KBJ88 Corp BondUS65339KBJ88 | View | |
| NEXTERA ENERGY CAPITAL Corp BondUS65339KBM18 | View | |
| US65339KBK51 Corp BondUS65339KBK51 | View | |
| NEE 244 15 JAN 32 Corp BondUS65339KBZ21 | View | |
| NEE 1875 15 JAN 27 Corp BondUS65339KBY55 | View | |
| NEXTERA ENERGY CAPITAL Corp BondUS65339KBR05 | View | |
| NextEra Energy Capital Corp BondUS65339KBP49 | View | |
| NEXTERA ENERGY CAPITAL Corp BondUS65339KBW99 | View |
Understand Nextera Energy's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Nextera Energy's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.13) | |||
| Market Risk Adjusted Performance | (0.52) | |||
| Mean Deviation | 1.2 | |||
| Coefficient Of Variation | (631.42) | |||
| Standard Deviation | 1.62 | |||
| Variance | 2.64 | |||
| Information Ratio | (0.18) | |||
| Jensen Alpha | (0.28) | |||
| Total Risk Alpha | (0.31) | |||
| Treynor Ratio | (0.53) | |||
| Maximum Drawdown | 7.8 | |||
| Value At Risk | (2.52) | |||
| Potential Upside | 1.93 | |||
| Skewness | (0.63) | |||
| Kurtosis | 1.39 |
| Risk Adjusted Performance | (0.13) | |||
| Market Risk Adjusted Performance | (0.52) | |||
| Mean Deviation | 1.2 | |||
| Coefficient Of Variation | (631.42) | |||
| Standard Deviation | 1.62 | |||
| Variance | 2.64 | |||
| Information Ratio | (0.18) | |||
| Jensen Alpha | (0.28) | |||
| Total Risk Alpha | (0.31) | |||
| Treynor Ratio | (0.53) | |||
| Maximum Drawdown | 7.8 | |||
| Value At Risk | (2.52) | |||
| Potential Upside | 1.93 | |||
| Skewness | (0.63) | |||
| Kurtosis | 1.39 |
Consider Nextera Energy's intraday indicators
Nextera Energy intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Nextera Energy stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Nextera Energy time-series forecasting models is one of many Nextera Energy's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Nextera Energy's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Nextera Stock media impact
Far too much social signal, news, headlines, and media speculation about Nextera Energy that are available to investors today. That information is available publicly through Nextera media outlets and privately through word of mouth or via Nextera internal channels. However, regardless of the origin, that massive amount of Nextera data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Nextera Energy news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Nextera Energy relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Nextera Energy's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Nextera Energy alpha.
Nextera Energy Corporate Directors
| Amy Lane | Independent Director | Profile | |
| Kristin Rose | Director Relations | Profile | |
| Kenneth Dunn | Independent Director | Profile | |
| Sherry Barrat | Independent Director | Profile |
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Nextera Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in income. For information on how to trade Nextera Stock refer to our How to Trade Nextera Stock guide.You can also try the Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
Is Electric Utilities space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Nextera Energy. If investors know Nextera will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Nextera Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Nextera Energy is measured differently than its book value, which is the value of Nextera that is recorded on the company's balance sheet. Investors also form their own opinion of Nextera Energy's value that differs from its market value or its book value, called intrinsic value, which is Nextera Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Nextera Energy's market value can be influenced by many factors that don't directly affect Nextera Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Nextera Energy's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Nextera Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Nextera Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.