NextEra (NEE) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Many companies pay dividends. However, some dividend stocks are better suited for investors seeking income than others because of the durability of their cash flows and the strength of their financial profiles.
The U.S. will need to build a tremendous amount of new power-generating capacity by 2030. According to an estimate from leading utility NextEra Energy (NEE -1.28%), the U.S. will need to add more than 450 gigawatts (GW) of new power generation by the dawn of the next decade.
Zacks.com users have recently been watching NextEra (NEE) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
NEE continues to gain from the decline in interest rates, low-cost strategically located assets, and increasing clean energy generation capacity to meet demand from its expanding customers.
Upgrading NextEra Energy to a buy due to improved valuation; shares are now trading at a sub-20x P/E, making them about 20% undervalued. NEE's Q1 results showed a 9% YoY adjusted EPS increase, driven by Florida Power & Light and renewable energy projects, despite mixed technical indicators. Management reaffirmed 6-8% earnings growth and 10% dividend increases through 2026; the stock offers a 3.4% forward yield.
Utility stocks have long been a favorite for investors who are looking for stability and consistent returns in the current market.
NextEra Energy (NEE) is poised for sustained revenue and EPS growth, driven by its growing backlog from AI demand, data center builds, and grid electrification. NEE offers dividend growth and stock price stability, making it attractive for income investors and those seeking a value play in AI infrastructure. Despite high debt and interest rate risks, NEE's accelerating backlog and proven earnings growth potential present a compelling long-term investment opportunity.
I give a buy rating for NextEra Energy due to strong 1Q25 execution, record-level originations, and appealing long-term growth with hyperscalers. NEE's storage sourcing strategy reduces cost risk versus peers reliant on China's supply chain, enhancing its competitive positioning and margin potential. Record 3.2 GW renewable and storage bookings and a growing development backlog demonstrate robust demand and future cash flow visibility.
NEE reports better-than-expected first-quarter earnings. Strong performance of both businesses boosts the bottom line in the quarter.
NextEra Energy, Inc. (NYSE:NEE ) Q1 2025 Earnings Conference Call April 23, 2025 9:00 AM ET Company Participants Mark Eidelman - Director, IR John Ketchum - Chairman, President & Chief Executive Officer Brian Bolster - EVP & Chief Financial Officer Armando Pimentel - President and Chief Executive Officer, Florida Power & Light Rebecca Kujawa - President and Chief Executive Officer, NextEra Energy Resources Mark Hickson - Executive Vice President, NextEra Energy Mike Dunne - Treasurer Conference Call Participants Steve Fleishman - Wolfe Research Julien Dumoulin-Smith - Jefferies Nick Campanella - Barclays Jeremy Tonet - JPMorgan David Arcaro - Morgan Stanley Carly Davenport - Goldman Sachs Bill Appicelli - UBS Operator Good morning, and welcome to the NextEra Energy, Inc. First Quarter 2025 Earnings Conference Call. All participants will be in the listen-only-mode.
NextEra Energy (NEE) came out with quarterly earnings of $0.99 per share, beating the Zacks Consensus Estimate of $0.97 per share. This compares to earnings of $0.91 per share a year ago.