NEE NextEra Energy, Inc. - Fundamental Analysis
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NEE Stock | Fundamental Analysis & Investment Insights
NYSE
Utilities
Utilities - Regulated Electric
Current Price
Live
$83.63
Analyst Target
$90.83
+8.6%
Upside
52W High
$87.53
52W Low
$61.72
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 17, 2026
Market cap
$174.17B
P/E
26.55
ROE
8.2%
Profit margin
24.7%
Debt/Equity
1.44
Dividend yield
2.76%
AI Analysis
AI-powered fundamental assessment
Confidence
75%
NextEra Energy exhibits strong financial health with a Piotroski F-Score of 7/9, indicating solid operational performance. However, the absence of an Altman Z-Score prevents a full distress risk assessment, though the company maintains healthy profitability and strong earnings growth. Valuation appears stretched relative to historical norms and the Graham Number, while insider selling and a weak technical trend raise caution. Despite bullish analyst sentiment and solid long-term growth, elevated multiples and liquidity concerns temper immediate upside potential.
Key Strengths
Strong Piotroski F-Score of 7/9 reflects robust financial health and consistent profitability
High profit, operating, and gross margins outperform sector averages
Impressive year-over-year earnings growth of 31.10% and strong quarterly EPS progression
Above-average dividend yield of 2.76% with a sustainable payout ratio under 75%
Analyst consensus target of $90.83 implies 8.6% upside, supported by 22 analysts
Key Risks
Elevated P/E of 26.55 vs sector average of 20.87 suggests overvaluation
Poor liquidity with current ratio of 0.55 and quick ratio of 0.36, below safe thresholds
Debt/Equity of 1.44 is high, though in line with sector average of 1.55
Insider selling activity totaling $15.67M over last 6 months signals bearish sentiment
Technical trend score of 10/100 indicates near-term bearish momentum
AI Fair Value Estimate
Based on comprehensive analysis
$90.83
+8.6% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
69
Strong
58
76
70
74
68
AI Verdict
Moderately positive with valuation and technical concerns
Key drivers: Strong earnings growth and profitability, High analyst target relative to current price, Bearish insider and technical signals, Elevated valuation multiples, Solid Piotroski score offset by liquidity issues
Confidence
78%
Value
58/100
Ref P/E, PEG, Graham Number
Positives
- Forward P/E of 20.85 is more reasonable than current P/E of 26.55
- Intrinsic value estimate of $92.92 supports long-term upside
Watchpoints
- Current P/E of 26.55 significantly above sector average of 20.87
- Price/Sales of 6.62 and Price/Book of 3.21 are elevated for a utility
- Current price ($83.63) is 94% above Graham Number ($42.94)
Future
76/100
Ref Growth rates
Positives
- Earnings growth (YoY) of 31.10% and Q/Q EPS growth of 15.3% are exceptional
- Revenue growth of 5.30% is stable in a mature sector
- Analyst target implies continued growth trajectory
Watchpoints
- PEG Ratio is unavailable, limiting growth-adjusted valuation insight
Past
70/100
Ref Historical trends
Positives
- Consistent earnings beat history: 21 out of 25 quarters beat estimates
- Average earnings surprise of +4.8% over last 25 quarters
- 1Y price return of +20.8% outperforms peers
Watchpoints
- Recent quarters show mixed performance: only 2 of last 4 beats
Health
74/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Piotroski F-Score of 7/9 indicates strong financial health
- ROE of 8.24% and ROA of 2.45% are stable for regulated utility
- Debt/Equity of 1.44 is in line with sector average
Watchpoints
- Current ratio (0.55) and quick ratio (0.36) indicate poor short-term liquidity
- Altman Z-Score not available, limiting distress risk analysis
Dividend
68/100
Ref Yield, Payout
Positives
- Dividend yield of 2.76% is above sector average
- Payout ratio of 70.30% is manageable for a utility
Watchpoints
- Dividend Strength score of 50/100 suggests moderate reliability
- No 5-year average yield data to assess consistency
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$83.63
Analyst Target
$90.83
Upside/Downside
+8.6%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for NEE and closest competitors.
Updated 2026-01-16
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
NEE
NextEra Energy, Inc.
Primary
|
+14.8% | +6.4% | +20.8% | +11.7% | +4.2% | +4.7% |
|
SO
The Southern Company
Peer
|
+75.9% | +41.5% | +9.5% | -4.0% | +2.1% | +2.2% |
|
DUK
Duke Energy Corporation
Peer
|
+60.5% | +28.8% | +13.3% | +2.4% | +1.5% | +2.1% |
|
AEP
American Electric Power Company, Inc.
Peer
|
+94.8% | +65.7% | +32.5% | +24.0% | +9.3% | +1.3% |
|
SRE
Sempra
Peer
|
+78.7% | +26.0% | +13.8% | +20.0% | +6.7% | +4.2% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
26.55
Forward P/E
20.85
PEG Ratio
N/A
P/B Ratio
3.21
P/S Ratio
6.62
EV/Revenue
10.47
EV/EBITDA
19.05
Market Cap
$174.17B
Profitability
Profit margins and return metrics
Profit Margin
24.73%
Operating Margin
30.77%
Gross Margin
62.04%
ROE
8.24%
ROA
2.45%
Growth
Revenue and earnings growth rates
Revenue Growth
+5.3%
Earnings Growth
+31.1%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+31.6%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
1.44
Moderate
Current Ratio
0.55
Weak
Quick Ratio
0.36
Poor
Cash/Share
$1.15
Quarterly Earnings History
EPS performance vs analyst estimates
2026-01-27
$N/A
2025-10-28
$1.13
+10.6% surprise
2025-07-23
$0.98
-4.4% surprise
2025-04-22
$0.99
+1.2% surprise
Utilities Sector Comparison
Comparing NEE against 21 companies in the Utilities sector
(0 bullish, 18 neutral, 3 bearish)
P/E Ratio
26.55
This Stock
vs
24.3
Sector Avg
+9.3%
(Premium)
Return on Equity (ROE)
8.24%
This Stock
vs
-7.2%
Sector Avg
-214.5%
(Below Avg)
Profit Margin
24.73%
This Stock
vs
10.62%
Sector Avg
+132.9%
(Superior)
Debt to Equity
1.44
This Stock
vs
1.76
Sector Avg
-18.1%
(Lower)
Revenue Growth
5.3%
This Stock
vs
6.94%
Sector Avg
-23.6%
(Slower)
Current Ratio
0.55
This Stock
vs
0.88
Sector Avg
-37.0%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
NEE
NextEra Energy, Inc.
|
NEUTRAL | $174.17B | 26.55 | 8.2% | 24.7% | $83.63 | |
|
SO
The Southern Company
|
NEUTRAL | $97.89B | 22.11 | 11.4% | 15.4% | $88.9 | |
|
DUK
Duke Energy Corporation
|
NEUTRAL | $92.71B | 18.77 | 9.9% | 16.0% | $119.22 | |
|
AEP
American Electric Power...
|
NEUTRAL | $72.26B | 20.09 | 12.5% | 16.4% | $133.61 | |
|
SRE
Sempra
|
NEUTRAL | $60.41B | 28.48 | 6.8% | 15.8% | $92.55 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-12-11 | REAGAN RONALD R | Officer | Sale | 12,129 | $985,481 |
| 2025-11-17 | PIMENTEL ARMANDO JR. | Director | Option Exercise | 145,140 | $4,052,019 |
| 2025-11-17 | PIMENTEL ARMANDO JR. | Director | Sale | 145,140 | $12,178,697 |
| 2025-10-03 | SIEVING CHARLES E | Officer | Sale | 11,336 | $906,880 |
| 2025-10-01 | LEMASNEY MARK | Officer | Sale | 808 | $62,943 |
| 2025-09-25 | LEMASNEY MARK | Officer | Sale | 846 | $63,365 |
| 2025-09-12 | LEMASNEY MARK | Officer | Sale | 846 | $60,827 |
| 2025-09-08 | DUNNE MICHAEL | Chief Financial Officer | Sale | 10,000 | $707,900 |
| 2025-07-28 | COFFEY ROBERT | Officer | Sale | 7,500 | $538,800 |
| 2025-07-22 | MAY JAMES MICHAEL | Officer and Treasurer | Sale | 2,177 | $168,718 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
22 analysts
Barclays
2026-01-15
Equal-Weight
Equal-Weight
Jefferies
2025-12-31
Hold
Hold
UBS
2025-12-17
Buy
Buy
JP Morgan
2025-12-11
Overweight
Overweight
UBS
2025-12-10
Buy
Buy
BMO Capital
2025-12-10
Outperform
Outperform
Citigroup
2025-10-29
Buy
Buy
UBS
2025-10-29
Buy
Buy
Barclays
2025-10-29
Equal-Weight
Equal-Weight
Wells Fargo
2025-10-28
Overweight
Past News Coverage
Recent headlines mentioning NEE from our newsroom.
Newest → oldest
No matching news yet.