NextEra Energy

Methodology

NextEra Energy's unique hybrid model combining regulated Florida utilities with renewable energy development creates better earnings visibility and growth than traditional utilities. Wind and solar investments through NextEra Energy Resources provide growth beyond rate base expansion. The calculation works well for this utility leader with clear renewable development pipeline and regulatory clarity.

Methodology

NextEra consistently commands premium PEG ratios versus traditional utilities reflecting renewable energy leadership, superior execution, and above-average growth profile. While expensive by utility standards, consistent delivery on clean energy investments justifies valuations. Compare to both regulated utility peers and renewable developers to gauge relative positioning.

Methodology

NextEra offers a meaningful and consistently growing dividend with management targeting steady increases well above utility averages. The dividend adds significant value to total returns for this growth-oriented utility. PEGY better captures why income-focused investors pay premiums for NextEra's combination of yield, dividend growth, and renewable energy exposure.