NextEra Energy Inc. Financial Report
Company Overview
NextEra Energy Inc (NEE:NYSE)
- Price: $72.81 (as of June 21, 2024)
- Market Cap: $149.59 billion
- P/E Ratio: 19.8393
- Dividend Yield: 2.8293%
- 52-Week Range: $47.145 – $80.47
- CEO: John W. Ketchum
- Headquarters: Juno Beach, Florida, USA
- Website: nexteraenergy.com
NextEra Energy Inc. is the world's largest electric utility holding company based on market capitalization. This means it’s the biggest company providing electricity services when compared to others in the market. They mainly work with renewable energy, like wind and solar power, which is good for the environment.
Financial Summary
Balance Sheet Analysis (Q1 2024)
- Total Assets: $179.95 billion (This is everything the company owns that has value)
- Total Liabilities: $120.56 billion (This is everything the company owes)
- Total Equity: $59.39 billion
- Cash and Short-term Investments: $1.642 billion (Money easily accessible by the company)
- Shares Outstanding: 2.05 billion (Total number of shares owned by all shareholders)
- Price-to-Book Ratio: 3.0613
Income Statement Analysis (Q1 2024)
- Revenue: $5.731 billion (Total money earned from services)
- Operating Expense: $1.409 billion (Money spent on day-to-day operations)
- Net Income: $2.268 billion (Money left after all expenses)
- Net Profit Margin: 39.57% (It tells us how much money the company makes from every dollar of sales, here it’s about 40 cents)
- Earnings Per Share (EPS): $1.10 (Profit for each share owned)
- EBITDA: $2.981 billion
- Effective Tax Rate: 10.49%
Cash Flow Analysis (Q1 2024)
- Net Income: $2.268 billion
- Cash from Operations: $3.077 billion (Profit from core business activities)
- Cash from Investing: -$9.321 billion (Money spent on buying assets or expanding)
- Cash from Financing: $5.038 billion (Money raised from loans or equity)
- Net Change in Cash: -$1.207 billion (Difference in cash flow)
- Free Cash Flow: -$11.469 billion (Cash left after all expenses and investments)
Historical Data Summary
Over the first half of 2024, NextEra Energy Inc. (NEE) saw significant changes in its stock price.
- Lowest Price: $55.04 (February 28, 2024)
- Highest Price: $80.02 (May 31, 2024)
- Current Price: $72.81
These changes were influenced by general market conditions and specific news about the company.
Key Events
On January 16, 2024, it was reported by Nasdaq: "NextEra Energy (NEE) Suffers a Larger Drop Than the General Market: Key Insights," indicating that the overall market downturn affected the company's stock.
Financial Analysis
Revenue and Profitability
NextEra Energy Inc. showed strong growth and profitability with a net profit margin of 39.57%. This means it made a good amount of money from its revenues, especially by focusing on renewable energy sources.
Liquidity and Solvency
While the company has a strong balance sheet, showing it owns more than it owes, the significant negative free cash flow in Q1 2024 (-$11.469 billion) indicates heavy investment in renewable energy.
Stock Price Prediction
Market and Sector Outlook
With the world increasingly turning towards renewable energy, NextEra Energy Inc. is strategically positioned for growth.
Price Prediction for Q3 2024:
- Base Case: $75 – $80
- Optimistic Case: $80 – $85
Conclusion
NextEra Energy Inc. is a strong contender in the renewable energy sector with impressive financial performance. Despite some short-term challenges, the long-term growth outlook remains positive, making it a potentially solid investment.
Prepared by:
Terry Bingman, Financial Analyst
