Guggenheim Downgrades NextEra Energy Target Price from $92 to $86
July 15, 2023
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NEXTERA ($NYSE:NEE): On Friday, Guggenheim released a research report which cut their target price for NextEra Energy from $92.00 to $86.00. NextEra Energy is a leading company in the energy sector and one of the largest suppliers of electric power in the United States. It is headquartered in Juno Beach, Florida and is the parent company of Florida Power & Light Company and Gulf Power Company. Its primary business involves generating and selling electricity to utilities and other customers.
The company also produces and sells renewable energy through its subsidiaries, as well as provides energy management services. By utilizing a mix of traditional sources and renewable resources, NextEra Energy is able to provide reliable and affordable energy services to customers across the country. Despite this decline in value, investors are hopeful that NextEra Energy will be able to rebound and reach pre-Guggenheim report levels in the near future.
Share Price
This news caused the energy company’s stock to open at $71.8 and close at $71.7, down 0.5% from its previous closing price of $72.0. Despite the downgrade, NextEra Energy remains an attractive investment opportunity and is currently trading at a discount to its previous price target of $92. Investors should take this news into consideration and evaluate NextEra Energy’s stock with caution. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Nextera Energy. More…
| Total Revenues | Net Income | Net Margin |
| 24.78k | 6.68k | 25.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Nextera Energy. More…
| Operations | Investing | Financing |
| 7.97k | -21.48k | 14.97k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Nextera Energy. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 165.36k | 112.38k | 21.2 |
Key Ratios Snapshot
Some of the financial key ratios for Nextera Energy are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 7.9% | 7.6% | 34.6% |
| FCF Margin | ROE | ROA |
| -7.1% | 13.0% | 3.2% |
Analysis
At GoodWhale, we have conducted a thorough analysis of NEXTERA ENERGY’s fundamentals. According to our Star Chart, NEXTERA ENERGY is strong in dividend, medium in growth, profitability, and weak in asset. Additionally, it has an intermediate health score of 6/10 when considering its cashflows and debts. This suggests that NEXTERA ENERGY is likely to safely ride out any crisis without the risk of bankruptcy. We have classified NEXTERA ENERGY as a ‘cheetah’ type of company, meaning that they have achieved high revenue or earnings growth but are considered less stable due to lower profitability. Based on this analysis, we believe that investors who are looking for short-term gains may be interested in such a company. More…
Peers
NextEra Energy Inc is one of the largest electric utility companies in the United States, with operations in 27 states and Canada. The company’s primary business is the generation, transmission, and distribution of electricity and natural gas. NextEra Energy also owns and operates a number of other businesses, including a renewable energy development company and a nuclear power plant. The company’s competitors include Southern Co, NextEra Energy Partners LP, Consolidated Edison Inc, and a number of other large electric utility companies.
– Southern Co ($NYSE:SO)
The Southern Company is an American electric utility holding company headquartered in Atlanta, Georgia. As of December 31, 2020, it had approximately 4.5 million customers and more than 46,000 megawatts of generating capacity. The company’s generation portfolio includes nuclear, coal-fired, oil- and natural gas-fired, and renewable energy sources.
– NextEra Energy Partners LP ($NYSE:NEP)
NextEra Energy Partners LP is a publicly traded limited partnership formed by NextEra Energy, Inc. (NYSE: NEE), a leading clean energy company with operations and investments in 27 states and Canada as of December 31, 2020. Headquartered in Juno Beach, Florida, NextEra Energy Partners is one of the largest wholesale generators of renewable energy from the sun and wind in the United States.
– Consolidated Edison Inc ($NYSE:ED)
Consolidated Edison Inc is a large electric utility company that serves the New York City area. The company has a market capitalization of over $31 billion and a return on equity of 8.28%. Consolidated Edison is one of the largest electric utilities in the United States and provides power to over 3 million customers in New York City and Westchester County. The company is also one of the largest gas utilities in the United States, serving over 1 million customers in New York City.
Summary
NextEra Energy is a leading clean energy company in the United States, and its stock has been the subject of recent investment analysis. Guggenheim recently reduced their target price for NextEra Energy from $92.00 to $86.00 in a research report issued on Friday. Analysts have noted that the stock’s performance has been strong over the past few months, though there is still some risk to the stock due to market volatility.
Investors have been advised to watch this stock carefully and keep abreast of the latest developments. In light of these recent reports, this may be a good time for investors to closely monitor NextEra Energy and consider it as a potential investment opportunity.
