- FY Adjusted EPS Forecast: NextEra Energy maintains its adjusted EPS forecast for the fiscal year, ranging from $3.23 to $3.43. Analyst estimate is $3.42.
- Second Quarter Results:
- Adjusted EPS: 96 cents, matching the estimate and up from 88 cents year-over-year (y/y).
- FPL Segment Adjusted EPS: 60 cents, beating the estimate of 56 cents and up from 57 cents y/y.
- NEER Adjusted EPS: 42 cents, ahead of the estimate of 39 cents and up from 39 cents y/y.
- Overall EPS: 79 cents, down from $1.38 y/y.
- Operating Revenue: $6.07 billion, down 17% y/y, missing the estimate of $7.21 billion.
- FPL Segment Operating Revenue: $4.39 billion, down 8.1% y/y, lower than the estimate of $4.74 billion.
- NEER Operating Revenue: $1.65 billion, down 36% y/y, below the estimate of $2.08 billion.
- Corporate & Other Segment Operating Revenue: $35 million, up 84% y/y, surpassing the estimate of $0.87 million.
- Renewables and Storage Projects: NextEra Energy Resources adds more than 3,000 megawatts of new renewables and storage projects to its backlog.
- Future EPS Guidance:
- 2025: Adjusted EPS expected to be between $3.45 and $3.70.
- 2026: Adjusted EPS projected to range from $3.63 to $4.00.
- 2027: Adjusted EPS anticipated to be between $3.85 and $4.32.
- Dividend Growth: NextEra Energy expects to grow its dividends per share by roughly 10% annually through at least 2026, starting from a 2024 base.
- Analyst Ratings: The company has received 17 buy ratings, 6 hold ratings, and 1 sell rating.
Nextera Energy on Smartkarma
Analyst coverage of NextEra Energy on Smartkarma showcases a positive outlook on the company’s future prospects. Baptista Research‘s initiation of coverage report highlights NextEra Energy’s blend of stability and growth in the renewable energy sector. The report emphasizes strong demand growth, portfolio diversification, and strategic expansion as major drivers behind the company’s solid financial results. With an 8.3% year-over-year increase in adjusted earnings per share, driven notably by the performance of its Florida Power & Light Company and Energy Resources segments, NextEra Energy is positioned well for continued success.
Furthermore, analyst Joe Jasper‘s research suggests a strategic shift from growth to value investments, recommending upgrades in the manufacturing and utilities sectors. Jasper downgrades the technology sector to market weight while highlighting limited downside potential on the S&P 500 index. This shift in exposure reflects a cautious yet optimistic approach in the current market environment, with a focus on sectors poised for growth and stability such as utilities, where NextEra Energy’s performance aligns well with the upgraded market weight status suggested by the analyst.
A look at Nextera Energy Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
NextEra Energy, a leading provider of sustainable energy generation and distribution services, has received notable Smart Scores across various factors. With a strong momentum score of 5, NextEra Energy is showing positive growth potential in the long term. Additionally, the company scores well in the growth category with a score of 4, indicating promising prospects for expansion in the future.
However, NextEra Energy’s resilience score of 2 suggests potential vulnerabilities that investors should consider. Despite this, the company maintains an average score of 3 in both the value and dividend categories. This balanced performance across different factors indicates a mixed outlook for NextEra Energy as it navigates the evolving energy landscape.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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