In the latest trading session, NextEra Energy (NEE - Free Report) closed at $231.72, marking a +1.02% move from the previous day. This change outpaced the S&P 500's 0.24% loss on the day. Meanwhile, the Dow lost 0.3%, and the Nasdaq, a tech-heavy index, lost 0.58%.
Prior to today's trading, shares of the parent company of Florida Power & Light Co. Had gained 3.7% over the past month. This has lagged the Utilities sector's gain of 5.06% and the S&P 500's gain of 4.96% in that time.
Investors will be hoping for strength from NEE as it approaches its next earnings release. In that report, analysts expect NEE to post earnings of $2.18 per share. This would mark no growth from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.24 billion, up 18.54% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.38 per share and revenue of $18.99 billion, which would represent changes of +8.83% and +13.43%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for NEE. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.3% higher. NEE is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note NEE's current valuation metrics, including its Forward P/E ratio of 27.38. Its industry sports an average Forward P/E of 21.64, so we one might conclude that NEE is trading at a premium comparatively.
Investors should also note that NEE has a PEG ratio of 3.42 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Utility - Electric Power was holding an average PEG ratio of 3.91 at yesterday's closing price.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 73, putting it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.