NextEra Energy (NEE - Free Report) closed at $241.31 in the latest trading session, marking a -0.09% move from the prior day. This change was narrower than the S&P 500's daily loss of 0.28%. At the same time, the Dow lost 0.42%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the parent company of Florida Power & Light Co. Had gained 3.09% over the past month. This has outpaced the Utilities sector's gain of 2.09% and lagged the S&P 500's gain of 3.31% in that time.
NEE will be looking to display strength as it nears its next earnings release. On that day, NEE is projected to report earnings of $1.53 per share, which would represent year-over-year growth of 2.68%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.69 billion, up 6.77% from the year-ago period.
It is also important to note the recent changes to analyst estimates for NEE. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.04% lower within the past month. NEE is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, NEE currently has a Forward P/E ratio of 26.72. This valuation marks a premium compared to its industry's average Forward P/E of 19.49.
Investors should also note that NEE has a PEG ratio of 3.35 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. Utility - Electric Power stocks are, on average, holding a PEG ratio of 3.68 based on yesterday's closing prices.
The Utility - Electric Power industry is part of the Utilities sector. This industry currently has a Zacks Industry Rank of 165, which puts it in the bottom 36% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.