Erste Group Bank Predicts Weaker Earnings for NextEra Energy

Key Points

• Erste Group Bank lowered its FY2026 EPS forecast for NextEra Energy to $4.02 from $4.03, below the $4.04 consensus, while maintaining a “Hold” rating. It forecasts FY2027 EPS of $4.38.
• NextEra’s latest quarterly results beat expectations, with EPS of $1.15 versus the $1.11 consensus, although revenue of $7.53 billion fell short of the $8.11 billion estimate. Revenue still increased 12.4% year over year.
• Shares opened at $78.50, near the lower end of their 12-month range, while analysts maintain a “Moderate Buy” consensus and an average price target of $99.70. The company also offers a quarterly dividend equivalent to a 3.2% annual yield.

NextEra Energy, Inc. (NYSE:NEE - Free Report) - Analysts at Erste Group Bank reduced their FY2026 earnings per share estimates for NextEra Energy in a report released on Thursday, October 8th. Erste Group Bank analyst S. Lingnau now expects that the utilities provider will post earnings per share of $4.02 for the year, down from their previous estimate of $4.03. Erste Group Bank has a "Hold" rating on the stock. The consensus estimate for NextEra Energy's current full-year earnings is $4.04 per share. Erste Group Bank also issued estimates for NextEra Energy's FY2027 earnings at $4.38 EPS.

NextEra Energy (NYSE:NEE - Get Free Report) last announced its quarterly earnings data on Friday, July 24th. The utilities provider reported $1.15 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.11 by $0.04. The firm had revenue of $7.53 billion during the quarter, compared to analysts' expectations of $8.11 billion. NextEra Energy had a net margin of 32.40% and a return on equity of 12.28%. The company's revenue for the quarter was up 12.4% compared to the same quarter last year. During the same period in the prior year, the company posted $1.05 earnings per share. NextEra Energy has set its FY 2026 guidance at 3.920-4.020 EPS.

NEE has been the subject of a number of other reports. Jefferies Financial Group reissued a "hold" rating on shares of NextEra Energy in a research note on Thursday. Mizuho dropped their target price on shares of NextEra Energy from $95.00 to $80.00 and set a "neutral" rating on the stock in a research report on Tuesday, October 6th. Wall Street Zen downgraded NextEra Energy from a "sell" rating to a "strong sell" rating in a report on Saturday, October 3rd. Barclays set a $91.00 target price on NextEra Energy and gave the stock an "equal weight" rating in a research note on Tuesday, July 7th. Finally, HC Wainwright reaffirmed a "buy" rating on shares of NextEra Energy in a research note on Monday, July 27th. Eighteen equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $99.70.

NextEra Energy Stock Up 1.4%

Shares of NYSE NEE opened at $78.50 on Tuesday. The stock has a market capitalization of $163.74 billion, a price-to-earnings ratio of 17.64, a P/E/G ratio of 2.38 and a beta of 0.64. The company has a current ratio of 0.53, a quick ratio of 0.44 and a debt-to-equity ratio of 1.45. The firm's 50-day moving average price is $81.67 and its 200-day moving average price is $86.94. NextEra Energy has a 12-month low of $74.41 and a 12-month high of $98.75.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of NEE. NorthCrest Asset Manangement LLC grew its holdings in shares of NextEra Energy by 3.7% during the 3rd quarter. NorthCrest Asset Manangement LLC now owns 38,091 shares of the utilities provider's stock valued at $2,947,000 after acquiring an additional 1,359 shares in the last quarter. JGP Wealth Management LLC increased its stake in shares of NextEra Energy by 0.7% in the third quarter. JGP Wealth Management LLC now owns 144,736 shares of the utilities provider's stock worth $10,962,000 after acquiring an additional 1,058 shares during the last quarter. Tilia Fiduciary Partners Inc. raised its holdings in shares of NextEra Energy by 5.2% during the third quarter. Tilia Fiduciary Partners Inc. now owns 38,428 shares of the utilities provider's stock worth $2,911,000 after acquiring an additional 1,913 shares in the last quarter. ANB Bank raised its holdings in shares of NextEra Energy by 10.6% during the third quarter. ANB Bank now owns 8,380 shares of the utilities provider's stock worth $635,000 after acquiring an additional 804 shares in the last quarter. Finally, Atlas Brown Inc. raised its holdings in shares of NextEra Energy by 4.4% during the third quarter. Atlas Brown Inc. now owns 15,405 shares of the utilities provider's stock worth $1,167,000 after acquiring an additional 653 shares in the last quarter. Hedge funds and other institutional investors own 78.72% of the company's stock.

NextEra Energy Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Shareholders of record on Friday, August 28th were given a $0.6232 dividend. The ex-dividend date of this dividend was Friday, August 28th. This represents a $2.49 dividend on an annualized basis and a yield of 3.2%. NextEra Energy's dividend payout ratio is presently 55.96%.

NextEra Energy Company Profile

NextEra Energy, Inc is an electric power and energy infrastructure company headquartered in Juno Beach, Florida. Through its principal subsidiary, Florida Power & Light Company (FPL), the company generates, transmits, distributes and sells electricity to customers across Florida. FPL serves residential, commercial and industrial customers and operates a diverse generation portfolio that includes natural gas, solar, nuclear and other resources.

NextEra Energy's other major business, NextEra Energy Resources, develops, owns and operates energy projects in the United States and Canada.

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