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what it is
NextEra sells electricity to Florida homes and businesses, then uses that cash to build wind, solar, gas, nuclear, and battery projects.
how it gets paid
Last year Nextera Energy made $25.8B in revenue. Residential electricity was the main engine at $14.2B, or 55% of sales.
why it's growing
Revenue grew 9.8% last year. The 37.74% earnings beat matters because it shows the business is still executing while the market argues about what multiple a utility deserves.
what just happened
NextEra's last report beat earnings estimates by 37.74%, even as investors kept staring at valuation and debt.
At a glance
A+ balance sheet — rock-solid finances — built to survive anything
100/100 earnings predictability — you can trust these numbers
23.0x trailing p/e — priced about right
2.7% dividend yield — cash in your pocket every quarter
7.0% return on capital — nothing to write home about
xvary composite: 68/100 — average
What they do
NextEra sells electricity to Florida homes and businesses, then uses that cash to build wind, solar, gas, nuclear, and battery projects.
You do not casually switch the company that powers your house. Florida Power & Light serves more than 6 million customer accounts in Florida, which makes demand sticky and cash flow steadier. That steady cash helps fund NextEra's wind, solar, and storage buildout.
How they make money
$25.8B
annual revenue · their business grew +9.8% last year
Residential electricity
$14.2B
Commercial electricity
$5.2B
Industrial electricity
$4.1B
Other electricity sales
$2.3B
The products that matter
regulated electric utility
Florida Power & Light
6M+ customer accounts
this is the stable part of the story — a regulated utility serving more than six million customer accounts across florida. you buy this for durability as much as growth.
regulated base
utility-scale renewable development
Wind and Solar Platform
part of $25.8B revenue
management's renewable platform is one reason revenue reached $25.8B and grew 31.0% last year. the page data is thin on segment mix, so the safe conclusion is scale matters more than precision here.
growth engine
capital allocation story
Project Pipeline
$89.6B long-term debt
this is not a standalone product, but it is the lever that matters. when you fund growth with a balance sheet carrying $89.6B in long-term debt, execution and financing conditions become part of the product.
funding matters
Key numbers
$4.35
fy2027 eps est
$43B
fy2029 rev est
23.0x
trailing p/e
2.7%
dividend yield
Financial health
A+
strength
- balance sheet grade A+ — near the highest rating possible
- risk rank 2 — safer than 80% of stocks
- price stability 70 / 100
- long-term debt $89.6B (33% of capital)
- return on equity 14% — $0.14 profit for every $1 investors have put in
A+ — among the top-rated companies for balance sheet quality.
Total return vs. market
You invested $10,000 in NEE 3 years ago → it's now worth $12,210.
The index would have given you $14,770.
source: institutional data · total return
What just happened
beat estimates
NextEra's last report beat earnings estimates by 37.74%, even as investors kept staring at valuation and debt.
Yahoo Finance shows last earnings at $0.73 versus a $0.53 estimate. EDGAR shows the latest quarter at $19.7B in revenue, up 166% vs. prior year, while annual revenue reached $25.8B, up 9.8%.
$19.7B
revenue
$0.73
eps
32.1%
operating margin
the number that mattered
The 37.74% earnings beat matters because it shows the business is still executing while the market argues about what multiple a utility deserves.
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nextera energy will likely post solid earnings gains in the years ahead.
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the company recently reported 2025 year-end profits at the high end of leadership’s profit outlook.
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nextera is among the most consistent and fastest earnings growers within its utility peer group, having now posted nine consecutive years of record bottom-line results.
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over the past decade, earnings per share grew at an average annual rate of 9%.
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for 2025, the gain was 8.2%.
source: company earnings report, 2026
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What could go wrong
the #1 risk is Florida rate and return pressure at Florida Power & Light. That is the regulated cash engine underneath the whole story.
med
Florida rate and return pressure
FPL serves more than six million customer accounts, but regulated utilities do not set their own economics. Allowed returns, recovery timing, and rate decisions can all change what that customer base is worth.
If regulators get less generous, the stable side of the business becomes less lucrative right when the stock is asking investors to pay a premium multiple.
med
interest-rate sensitivity
This is a capital-intensive company carrying $89.6B in long-term debt, equal to 33% of capital. Higher financing costs do not just hit earnings — they can also change which projects still clear the hurdle rate.
When rates stay high, utilities often trade like bond substitutes. Nextera's growth profile helps, but it does not repeal math.
med
renewable policy and project economics
Part of the bull case is renewable scale. That leaves returns exposed to subsidy frameworks, power pricing, and buildout economics that management does not fully control.
If project returns compress, you lose the piece of the story that makes a 23.0x utility multiple look reasonable.
med
Florida weather concentration
A utility concentrated in Florida gets the benefits of population growth and the costs of extreme weather. Storm damage and recovery timing can create lumpy costs even for a stable operator.
That does not usually break the thesis. It can pressure near-term earnings and remind you why utilities are operational businesses, not spreadsheets.
Between FPL regulation, renewable project economics, and $89.6B of debt, nextera's $25.8B revenue base is sturdy but not automatic. You are buying execution, not just a defensive label.
source: institutional data · regulatory filings · risk analysis
Pay attention to
earnings
next quarterly print
$1.18 EPS last quarter kept the growth story clean. You want to see whether that pace still holds as the base gets larger.
risk
Florida rate decisions
FPL is the ballast in this story. Any change in allowed returns or recovery timing matters more than a flashy renewable headline.
metric
debt and financing costs
With $89.6B in long-term debt, your margin for error is wider than most utilities on growth and narrower on funding.
trend
EPS growth vs. utility peers
This stock keeps its premium by growing faster than the sector. If that advantage narrows, the valuation conversation changes fast.
Analyst rankings
short-term outlook
below average
momentum score 4 — in human-speak, analysts think the next 12 months may be less exciting than the long-term story.
risk profile
above average
stability score 2 — safer than roughly 80% of stocks, which is exactly what you want from a utility with a premium multiple.
chart momentum
below average
technical score 4 — the fundamentals look steadier than the chart right now.
earnings predictability
100 / 100
management gives unusually reliable guidance. fewer surprises means you are paying more for certainty.
source: institutional data
Institutional activity
institutions have been net buying for 3 consecutive quarters — 1,296 buyers vs. 1,177 sellers in 3q2025. total institutional holdings: 1.7B shares. net buying for 3 quarters.
source: institutional data
Price targets
3-5 year target range
$58
$102
$85
current price
$80
target midpoint · 6% from current · 3-5yr high: $140 (+65% · 16% ann'l return)
Want the deeper analysis?
The full deep dive: dcf model, scenario analysis, competitive moat breakdown, and quarterly tracking — everything on this page, taken further.
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