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NextEra Energy (NEE) Gains But Lags Market: What You Should Know
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In the latest trading session, NextEra Energy (NEE - Free Report) closed at $90.45, marking a +0.57% move from the previous day. This change lagged the S&P 500's 1.78% gain on the day. At the same time, the Dow added 1.61%, and the tech-heavy Nasdaq gained 0.95%.
Coming into today, shares of the parent company of Florida Power & Light Co. Had gained 2.95% in the past month. In that same time, the Utilities sector gained 2.89%, while the S&P 500 lost 2.63%.
Wall Street will be looking for positivity from NextEra Energy as it approaches its next earnings report date. On that day, NextEra Energy is projected to report earnings of $0.41 per share, which would represent year-over-year growth of 2.5%. Our most recent consensus estimate is calling for quarterly revenue of $5.48 billion, up 24.61% from the year-ago period.
NEE's full-year Zacks Consensus Estimates are calling for earnings of $2.53 per share and revenue of $17.86 billion. These results would represent year-over-year changes of +9.52% and -0.77%, respectively.
It is also important to note the recent changes to analyst estimates for NextEra Energy. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection has moved 0.2% higher. NextEra Energy is currently a Zacks Rank #3 (Hold).
In terms of valuation, NextEra Energy is currently trading at a Forward P/E ratio of 35.53. For comparison, its industry has an average Forward P/E of 19.25, which means NextEra Energy is trading at a premium to the group.
Meanwhile, NEE's PEG ratio is currently 3.97. 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. Utility - Electric Power stocks are, on average, holding a PEG ratio of 3.55 based on yesterday's closing prices.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 117, putting it in the top 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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 (NEE) Gains But Lags Market: What You Should Know
In the latest trading session, NextEra Energy (NEE - Free Report) closed at $90.45, marking a +0.57% move from the previous day. This change lagged the S&P 500's 1.78% gain on the day. At the same time, the Dow added 1.61%, and the tech-heavy Nasdaq gained 0.95%.
Coming into today, shares of the parent company of Florida Power & Light Co. Had gained 2.95% in the past month. In that same time, the Utilities sector gained 2.89%, while the S&P 500 lost 2.63%.
Wall Street will be looking for positivity from NextEra Energy as it approaches its next earnings report date. On that day, NextEra Energy is projected to report earnings of $0.41 per share, which would represent year-over-year growth of 2.5%. Our most recent consensus estimate is calling for quarterly revenue of $5.48 billion, up 24.61% from the year-ago period.
NEE's full-year Zacks Consensus Estimates are calling for earnings of $2.53 per share and revenue of $17.86 billion. These results would represent year-over-year changes of +9.52% and -0.77%, respectively.
It is also important to note the recent changes to analyst estimates for NextEra Energy. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection has moved 0.2% higher. NextEra Energy is currently a Zacks Rank #3 (Hold).
In terms of valuation, NextEra Energy is currently trading at a Forward P/E ratio of 35.53. For comparison, its industry has an average Forward P/E of 19.25, which means NextEra Energy is trading at a premium to the group.
Meanwhile, NEE's PEG ratio is currently 3.97. 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. Utility - Electric Power stocks are, on average, holding a PEG ratio of 3.55 based on yesterday's closing prices.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 117, putting it in the top 47% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.