NEXTERA ENERGY INC (NEE) Fundamental Analysis & Valuation

NYSE:NEE • US65339F1012

91.02 USD
-0.11 (-0.12%)
At close: Mar 6, 2026
90.44 USD
-0.58 (-0.64%)
Pre-Market: 3/9/2026, 5:37:33 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This NEE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

4

Taking everything into account, NEE scores 4 out of 10 in our fundamental rating. NEE was compared to 46 industry peers in the Electric Utilities industry. There are concerns on the financial health of NEE while its profitability can be described as average. NEE is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. NEE Profitability Analysis

1.1 Basic Checks

  • In the past year NEE was profitable.
  • In the past year NEE had a positive cash flow from operations.
  • In the past 5 years NEE has always been profitable.
  • In the past 5 years NEE always reported a positive cash flow from operatings.
NEE Yearly Net Income VS EBIT VS OCF VS FCFNEE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B 10B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 3.21%, NEE is in the better half of the industry, outperforming 71.74% of the companies in the same industry.
  • With an excellent Return On Equity value of 12.51%, NEE belongs to the best of the industry, outperforming 82.61% of the companies in the same industry.
  • With a Return On Invested Capital value of 3.29%, NEE is not doing good in the industry: 69.57% of the companies in the same industry are doing better.
  • The Average Return On Invested Capital over the past 3 years for NEE is in line with the industry average of 4.49%.
Industry RankSector Rank
ROA 3.21%
ROE 12.51%
ROIC 3.29%
ROA(3y)3.66%
ROA(5y)3.23%
ROE(3y)13.93%
ROE(5y)12.39%
ROIC(3y)3.9%
ROIC(5y)3.12%
NEE Yearly ROA, ROE, ROICNEE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • Looking at the Profit Margin, with a value of 24.93%, NEE belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
  • NEE's Profit Margin has improved in the last couple of years.
  • NEE's Operating Margin of 29.26% is amongst the best of the industry. NEE outperforms 97.83% of its industry peers.
  • NEE's Operating Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 29.26%
PM (TTM) 24.93%
GM N/A
OM growth 3Y19.88%
OM growth 5Y1.26%
PM growth 3Y8.01%
PM growth 5Y8.98%
GM growth 3YN/A
GM growth 5YN/A
NEE Yearly Profit, Operating, Gross MarginsNEE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. NEE Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NEE is destroying value.
  • NEE has more shares outstanding than it did 1 year ago.
  • NEE has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for NEE is higher compared to a year ago.
NEE Yearly Shares OutstandingNEE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B
NEE Yearly Total Debt VS Total AssetsNEE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50B 100B 150B 200B

2.2 Solvency

  • Based on the Altman-Z score of 1.15, we must say that NEE is in the distress zone and has some risk of bankruptcy.
  • NEE has a better Altman-Z score (1.15) than 71.74% of its industry peers.
  • NEE has a debt to FCF ratio of 29.78. This is a negative value and a sign of low solvency as NEE would need 29.78 years to pay back of all of its debts.
  • NEE has a Debt to FCF ratio of 29.78. This is amongst the best in the industry. NEE outperforms 80.43% of its industry peers.
  • A Debt/Equity ratio of 1.69 is on the high side and indicates that NEE has dependencies on debt financing.
  • The Debt to Equity ratio of NEE (1.69) is worse than 65.22% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.69
Debt/FCF 29.78
Altman-Z 1.15
ROIC/WACC0.45
WACC7.24%
NEE Yearly LT Debt VS Equity VS FCFNEE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20B 40B 60B 80B

2.3 Liquidity

  • A Current Ratio of 0.60 indicates that NEE may have some problems paying its short term obligations.
  • The Current ratio of NEE (0.60) is worse than 73.91% of its industry peers.
  • NEE has a Quick Ratio of 0.60. This is a bad value and indicates that NEE is not financially healthy enough and could expect problems in meeting its short term obligations.
  • With a Quick ratio value of 0.49, NEE perfoms like the industry average, outperforming 41.30% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.6
Quick Ratio 0.49
NEE Yearly Current Assets VS Current LiabilitesNEE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. NEE Growth Analysis

3.1 Past

  • NEE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.16%, which is quite good.
  • Measured over the past years, NEE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.92% on average per year.
  • Looking at the last year, NEE shows a quite strong growth in Revenue. The Revenue has grown by 10.75% in the last year.
  • Measured over the past years, NEE shows a quite strong growth in Revenue. The Revenue has been growing by 8.78% on average per year.
EPS 1Y (TTM)8.16%
EPS 3Y8.43%
EPS 5Y9.92%
EPS Q2Q%1.89%
Revenue 1Y (TTM)10.75%
Revenue growth 3Y9.36%
Revenue growth 5Y8.78%
Sales Q2Q%20.71%

3.2 Future

  • The Earnings Per Share is expected to grow by 8.46% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 8.26% on average over the next years. This is quite good.
EPS Next Y9.18%
EPS Next 2Y9.11%
EPS Next 3Y8.88%
EPS Next 5Y8.46%
Revenue Next Year8.92%
Revenue Next 2Y8.7%
Revenue Next 3Y9.06%
Revenue Next 5Y8.26%

3.3 Evolution

  • The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
NEE Yearly Revenue VS EstimatesNEE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B 40B
NEE Yearly EPS VS EstimatesNEE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6

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2

4. NEE Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 24.53, NEE is valued on the expensive side.
  • NEE's Price/Earnings ratio is a bit more expensive when compared to the industry. NEE is more expensive than 78.26% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.29, NEE is valued at the same level.
  • A Price/Forward Earnings ratio of 22.47 indicates a rather expensive valuation of NEE.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of NEE indicates a slightly more expensive valuation: NEE is more expensive than 78.26% of the companies listed in the same industry.
  • NEE is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.60, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 24.53
Fwd PE 22.47
NEE Price Earnings VS Forward Price EarningsNEE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 80.43% of the companies in the same industry are cheaper than NEE, based on the Enterprise Value to EBITDA ratio.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of NEE indicates a somewhat cheap valuation: NEE is cheaper than 78.26% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 59.06
EV/EBITDA 18.71
NEE Per share dataNEE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20 25

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The decent profitability rating of NEE may justify a higher PE ratio.
PEG (NY)2.67
PEG (5Y)2.47
EPS Next 2Y9.11%
EPS Next 3Y8.88%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. NEE Dividend Analysis

5.1 Amount

  • NEE has a Yearly Dividend Yield of 2.74%.
  • NEE's Dividend Yield is slightly below the industry average, which is at 2.87.
  • NEE's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
Industry RankSector Rank
Dividend Yield 2.74%

5.2 History

  • On average, the dividend of NEE grows each year by 10.05%, which is quite nice.
  • NEE has paid a dividend for at least 10 years, which is a reliable track record.
  • NEE has decreased its dividend in the last 3 years.
Dividend Growth(5Y)10.05%
Div Incr Years2
Div Non Decr Years2
NEE Yearly Dividends per shareNEE Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2 2.5

5.3 Sustainability

  • NEE pays out 68.48% of its income as dividend. This is not a sustainable payout ratio.
  • The dividend of NEE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP68.48%
EPS Next 2Y9.11%
EPS Next 3Y8.88%
NEE Yearly Income VS Free CF VS DividendNEE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B
NEE Dividend Payout.NEE Dividend Payout, showing the Payout Ratio.NEE Dividend Payout.PayoutRetained Earnings

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NEE Fundamentals: All Metrics, Ratios and Statistics

NEXTERA ENERGY INC

NYSE:NEE (3/6/2026, 8:04:00 PM)

Premarket: 90.44 -0.58 (-0.64%)

91.02

-0.11 (-0.12%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)01-27
Earnings (Next)04-21
Inst Owners83.77%
Inst Owner Change-0.56%
Ins Owners0.06%
Ins Owner Change3.68%
Market Cap189.64B
Revenue(TTM)27.41B
Net Income(TTM)6.83B
Analysts77.42
Price Target94.55 (3.88%)
Short Float %2.13%
Short Ratio4.51
Dividend
Industry RankSector Rank
Dividend Yield 2.74%
Yearly Dividend2.26
Dividend Growth(5Y)10.05%
DP68.48%
Div Incr Years2
Div Non Decr Years2
Ex-Date02-27
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.86%
Min EPS beat(2)1.67%
Max EPS beat(2)10.04%
EPS beat(4)4
Avg EPS beat(4)3.95%
Min EPS beat(4)1.14%
Max EPS beat(4)10.04%
EPS beat(8)6
Avg EPS beat(8)4.04%
EPS beat(12)10
Avg EPS beat(12)5.49%
EPS beat(16)14
Avg EPS beat(16)5.39%
Revenue beat(2)0
Avg Revenue beat(2)-2.54%
Min Revenue beat(2)-3.14%
Max Revenue beat(2)-1.93%
Revenue beat(4)0
Avg Revenue beat(4)-5.97%
Min Revenue beat(4)-10.09%
Max Revenue beat(4)-1.93%
Revenue beat(8)0
Avg Revenue beat(8)-10.27%
Revenue beat(12)4
Avg Revenue beat(12)-2.06%
Revenue beat(16)5
Avg Revenue beat(16)-3.86%
PT rev (1m)0.42%
PT rev (3m)2.94%
EPS NQ rev (1m)0.19%
EPS NQ rev (3m)-0.06%
EPS NY rev (1m)-0.15%
EPS NY rev (3m)0.77%
Revenue NQ rev (1m)1.25%
Revenue NQ rev (3m)-4.01%
Revenue NY rev (1m)-0.91%
Revenue NY rev (3m)-0.23%
Valuation
Industry RankSector Rank
PE 24.53
Fwd PE 22.47
P/S 6.92
P/FCF 59.06
P/OCF 15.19
P/B 3.47
P/tB 3.81
EV/EBITDA 18.71
EPS(TTM)3.71
EY4.08%
EPS(NY)4.05
Fwd EY4.45%
FCF(TTM)1.54
FCFY1.69%
OCF(TTM)5.99
OCFY6.58%
SpS13.16
BVpS26.21
TBVpS23.88
PEG (NY)2.67
PEG (5Y)2.47
Graham Number46.77
Profitability
Industry RankSector Rank
ROA 3.21%
ROE 12.51%
ROCE 4.22%
ROIC 3.29%
ROICexc 3.34%
ROICexgc 3.43%
OM 29.26%
PM (TTM) 24.93%
GM N/A
FCFM 11.71%
ROA(3y)3.66%
ROA(5y)3.23%
ROE(3y)13.93%
ROE(5y)12.39%
ROIC(3y)3.9%
ROIC(5y)3.12%
ROICexc(3y)3.96%
ROICexc(5y)3.16%
ROICexgc(3y)4.15%
ROICexgc(5y)3.31%
ROCE(3y)5.04%
ROCE(5y)4.03%
ROICexgc growth 3Y15.81%
ROICexgc growth 5Y-1.06%
ROICexc growth 3Y16.69%
ROICexc growth 5Y-0.68%
OM growth 3Y19.88%
OM growth 5Y1.26%
PM growth 3Y8.01%
PM growth 5Y8.98%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.13
Health
Industry RankSector Rank
Debt/Equity 1.69
Debt/FCF 29.78
Debt/EBITDA 6.16
Cap/Depr 133.61%
Cap/Sales 33.83%
Interest Coverage 250
Cash Conversion 83.45%
Profit Quality 46.99%
Current Ratio 0.6
Quick Ratio 0.49
Altman-Z 1.15
F-Score4
WACC7.24%
ROIC/WACC0.45
Cap/Depr(3y)145.54%
Cap/Depr(5y)161.45%
Cap/Sales(3y)34.06%
Cap/Sales(5y)37.99%
Profit Quality(3y)46.43%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.16%
EPS 3Y8.43%
EPS 5Y9.92%
EPS Q2Q%1.89%
EPS Next Y9.18%
EPS Next 2Y9.11%
EPS Next 3Y8.88%
EPS Next 5Y8.46%
Revenue 1Y (TTM)10.75%
Revenue growth 3Y9.36%
Revenue growth 5Y8.78%
Sales Q2Q%20.71%
Revenue Next Year8.92%
Revenue Next 2Y8.7%
Revenue Next 3Y9.06%
Revenue Next 5Y8.26%
EBIT growth 1Y12.51%
EBIT growth 3Y31.1%
EBIT growth 5Y10.15%
EBIT Next Year87.84%
EBIT Next 3Y31.68%
EBIT Next 5Y20.01%
FCF growth 1Y-32.34%
FCF growth 3YN/A
FCF growth 5Y21.04%
OCF growth 1Y-5.84%
OCF growth 3Y14.75%
OCF growth 5Y9.36%

NEXTERA ENERGY INC / NEE FAQ

What is the fundamental rating for NEE stock?

ChartMill assigns a fundamental rating of 4 / 10 to NEE.


Can you provide the valuation status for NEXTERA ENERGY INC?

ChartMill assigns a valuation rating of 2 / 10 to NEXTERA ENERGY INC (NEE). This can be considered as Overvalued.


Can you provide the profitability details for NEXTERA ENERGY INC?

NEXTERA ENERGY INC (NEE) has a profitability rating of 6 / 10.


Can you provide the financial health for NEE stock?

The financial health rating of NEXTERA ENERGY INC (NEE) is 2 / 10.


What is the expected EPS growth for NEXTERA ENERGY INC (NEE) stock?

The Earnings per Share (EPS) of NEXTERA ENERGY INC (NEE) is expected to grow by 9.18% in the next year.