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AQN vs NEE

AQN
Algonquin Power & Utilities Corp.
NEUTRAL
Price
$6.38
Market Cap
$4.9B
Sector
Utilities
AI Confidence
65%
NEE
NextEra Energy, Inc.
BULLISH
Price
$92.83
Market Cap
$193.41B
Sector
Utilities
AI Confidence
70%

Valuation

P/E Ratio
AQN
91.14
NEE
28.13
Forward P/E
AQN
17.49
NEE
21.2
P/B Ratio
AQN
1.1
NEE
3.54
P/S Ratio
AQN
2.05
NEE
7.06
EV/EBITDA
AQN
14.44
NEE
21.2

Profitability

Gross Margin
AQN
38.16%
NEE
62.27%
Operating Margin
AQN
25.07%
NEE
24.45%
Profit Margin
AQN
-1.11%
NEE
24.93%
ROE
AQN
0.15%
NEE
8.37%
ROA
AQN
2.02%
NEE
2.57%

Growth

Revenue Growth
AQN
1.7%
NEE
20.7%
Earnings Growth
AQN
--
NEE
26.0%

Financial Health

Debt/Equity
AQN
1.27
NEE
1.46
Current Ratio
AQN
1.23
NEE
0.59
Quick Ratio
AQN
0.65
NEE
0.39

Dividends

Dividend Yield
AQN
4.06%
NEE
2.68%
Payout Ratio
AQN
371.43%
NEE
68.67%

AI Verdict

AQN NEUTRAL

The deterministic health scores indicate significant concerns, with a Piotroski F-Score of 4/9 signaling borderline financial stability and no available Altman Z-Score limiting distress risk assessment. Despite a recent 1Y price surge of +47.5%, the stock trades at a steep valuation (P/E 91.14 vs sector avg 19.73) while reporting a negative profit margin (-1.11%) and an unsustainable dividend payout ratio (371.43%). However, strong operating metrics like 25.07% operating margin, improving EPS trends (+12.5% YoY), and a 4.06% dividend yield provide some support. The lack of insider activity and mixed analyst sentiment (hold) further justify a cautious stance.

Strengths
4.06% dividend yield provides income appeal in a low-growth sector
Strong operating margin of 25.07% indicates efficient cost management
Recent earnings surprises show volatility but include strong upside beats (e.g., +45.9% in May 2025)
Risks
Piotroski F-Score of 4/9 indicates weak financial health and elevated risk of underperformance
Extremely high P/E ratio of 91.14 vs forward P/E of 17.49 suggests speculative pricing and potential multiple contraction
Negative net profit margin (-1.11%) raises concerns about core profitability despite positive operating margins
NEE BULLISH

NEE shows bullish fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Key strengths include strong valuation and growth metrics.

Strengths
Strong profitability (24.9% margin)
Strong revenue growth of 20.7%
Risks
Premium vs Graham Number ($44.12)

Compare Another Pair

AQN vs NEE: Head-to-Head Comparison

This page compares Algonquin Power & Utilities Corp. (AQN) and NextEra Energy, Inc. (NEE) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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