NextEra Energy, Inc. (NEE) Q2 2026 Earnings Call July 24, 2026 9:00 AM EDT
Company Participants
Michael Dowling
John Ketchum - President, CEO & Chairman
Michael Dunne - CFO & Executive VP of Finance
Scott Bores - President & CEO
Brian Bolster - CEO & President
Conference Call Participants
Steven Fleishman - Wolfe Research, LLC
Julien Dumoulin-Smith - Jefferies LLC, Research Division
Nicholas Campanella - Barclays Bank PLC, Research Division
Jeremy Tonet - JPMorgan Chase & Co, Research Division
Carly Davenport - Goldman Sachs Group, Inc., Research Division
Presentation
Operator
Good day, and welcome to the NextEra Energy, Inc. Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded.
I would now like to turn the conference over to Michael Dowling, Director of Investor Relations. Please go ahead.
Michael Dowling
Good morning, everyone, and thank you for joining our second quarter 2026 financial results conference call for NextEra Energy. With me this morning are John Ketchum, Chairman, President and Chief Executive Officer of NextEra Energy; Mike Dunne, Executive Vice President and Chief Financial Officer of NextEra Energy; Armando Pimentel, Vice Chairman of NextEra Energy; Scott Bores, President and Chief Executive Officer of Florida Power & Light Company; Brian Bolster, President and Chief Executive Officer of NextEra Energy Resources; and Mark Hickson, Executive Vice President of NextEra Energy.
John will start with opening remarks, and then Mike will provide an overview of our results. Our executive team will then be available to answer your questions.
We will be making forward-looking statements during this call based on current expectations and assumptions, which are subject to risks and uncertainties. Actual results could differ materially from our forward-looking statements if any of our key assumptions are incorrect or because of other factors discussed in today's earnings news release, in the comments made during this conference call, in the
NextEra Energy ve 2. čtvrtletí překonala odhady zisku, když upravený EPS činil 1,15 USD oproti odhadu 1,11 USD. Tahounem byl silný růst poptávky po elektřině z datových center.
Miniatures of windmill, solar panel and electric pole are seen in front of NextEra Energy logo in this illustration taken January 17, 2023. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights, opens new tab
CompaniesJuly 24 (Reuters) - NextEra Energy (NEE.N), opens new tab beat Wall Street estimates for second-quarter profit on Friday, as robust demand for electricity from data centers continued to drive growth at its regulated utility and renewable energy businesses.
U.S. utilities are investing billions of dollars to expand power generation and transmission as technology companies race to secure electricity for data centers, and as more of the economy shifts to electricity from fossil fuels.
The Reuters Power Up newsletter provides everything you need to know about the global energy industry. Sign up here.
The U.S. Energy Information Administration expects power demand, which reached a record for a second straight year in 2025, to continue rising through 2026 and 2027.
NextEra, one of the world's largest renewable energy developers, is among the companies positioning themselves for that growth.
In May, it agreed to buy Dominion Energy (D.N), opens new tab in a $66.8 billion deal that would create one of the world's largest electric utilities and broaden its regulated footprint across fast-growing U.S. markets.
The deal is under regulatory review after drawing opposition from U.S. Senator Angus King, who argued it would concentrate too much market power in one company.
Florida Power & Light, the company's regulated utility, posted a 10.2% rise in second-quarter net income to $1.41 billion, while regulatory capital employed increased about 9.3%.
NextEra said FPL continues to see strong interest from hyperscalers and other large electricity users, with about 21 gigawatts of large-load opportunities, including 12 GW in advanced discussions.
It expects to announce at least one agreement under its large-load tariff before year-end.
NextEra Energy Resources, its renewable energy unit, reported net income of $1.63 billion, up 66.2%, and added 3.6 GW of wind, solar and battery storage projects during the quarter, taking its development backlog to about 35.1 GW.
The company earned $1.15 per share on an adjusted basis in the quarter ended June 30, above analysts' average estimate of $1.11, according to data compiled by LSEG.
Reporting by Katha Kalia in Bengaluru; Editing by Leroy Leo
Our Standards: The Thomson Reuters Trust Principles., opens new tab
NextEra Energy oznámí výsledky za 2. čtvrtletí, tržby mají meziročně vzrůst o 18,92 % na 7,97 miliardy USD. Tahounem má být poptávka na Floridě a nové obnovitelné projekty.
Key Takeaways NextEra Energy's Q2 revenues are projected to rise 18.92% year over year to $7.97 billion.Florida demand, customer growth and new renewable projects are expected to support quarterly earnings.Premium valuation and costly natural gas projects remain concerns despite stronger-than-industry ROE. NextEra Energy (NEE - Free Report) is scheduled to release its second-quarter 2026 results on July 24, before market open. The Zacks Consensus Estimate for earnings is currently pegged at $1.08 per share on revenues of $7.97 billion.
Second-quarter earnings estimates have remained unchanged over the past 60 days. The Zacks Consensus Estimate for quarterly revenues indicates a year-over-year increase of 18.92%.
Image Source: Zacks Investment Research
NEE Stock’s Earnings Surprise HistoryNextEra Energy’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.18%.
Image Source: Zacks Investment Research
What the Zacks Model UnveilsOur proven model does not conclusively predict an earnings beat for NextEra Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you can see below.
You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
NEE’s Earnings ESP: NextEra Energy has an Earnings ESP of -0.47%.
Zacks Rank of NEE: The company currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Some companies in the same industry with the right combination of the two factors for an earnings beat this season are Edison International (EIX - Free Report) , Duke Energy (DUK - Free Report) and PPL Corporation (PPL - Free Report) . EIX, DUK and PPL currently have an Earnings ESP of +20.45%, +0.08% and +4.23%, respectively. EIX and DUK carry a Zacks Rank #2 each, while PPL has a Zacks Rank #3.
Factors Likely to Have Boosted NEE Stock’s Q2 ResultsNextEra Energy’s subsidiary, Florida Power & Light (“FPL”), continues to capitalize on Florida’s robust economic growth, driving consistent customer additions. Strategic investments in grid infrastructure support reliable service while keeping electricity rates about 25% below the national average. Competitive pricing and the ongoing shift toward renewable energy are improving customer retention and reducing fuel expenses, supporting long-term earnings growth. Improving electricity demand from this region is expected to have a positive impact on earnings.
NextEra Energy’s other unit, Energy Resources, is benefiting from the new additions to its renewables and storage portfolio. After placing 0.7 gigawatts (GWs) of new projects into service during the first quarter, its backlog stood at nearly 28 GWs. Energy Resources' second-quarter earnings are expected to benefit from the addition of new renewable generation in its portfolio.
Strategic investment in its infrastructure and strong demand from AI and data centers operating in the service region will continue to drive NextEra Energy's performance. New projects placed into service are likely to have contributed to second-quarter earnings.
However, developing natural gas projects has become costly compared with renewable and battery storage and at times, procuring gas turbines for natural gas projects becomes difficult for the company, which can escalate operating costs and adversely impact earnings per share.
NEE Stock Returns Better Than Its IndustryReturn on equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits. The company's current ROE indicates that it is using shareholders’ funds more efficiently than peers.
NextEra Energy’s trailing 12-month ROE is 12.25%, ahead of the industry average of 11.21%.
Image Source: Zacks Investment Research
NEE Stock’s Price PerformanceNEE’s shares have gained 16.6% in the past year compared with the Zacks Utility – Electric Power industry’s rise of 16.5%.
Image Source: Zacks Investment Research
NextEra Energy’s Shares Trading at a PremiumThe company is currently valued at a premium compared with its industry on a forward 12-month P/E basis. NextEra Energy is trading at 21.12X compared with its industry’s 15.4X.
Image Source: Zacks Investment Research
Investment ThesisFlorida’s improving economic conditions are driving higher electricity demand and supporting steady customer growth for NextEra Energy. Continued investments in renewable energy and battery storage are further enhancing its ability to provide reliable and sustainable power.
Through disciplined cost control, the company keeps utility bills significantly below the national average, improving affordability and helping attract additional customers. Demand from data centers is going to create fresh opportunities for the company.
Although the company’s ROE is better than the industry, its premium valuation and costly natural gas projects compared with renewables are a concern.
Wrapping UpAlthough NextEra Energy’s second-quarter earnings are likely to come in below estimates, its long-term outlook remains solid. Ongoing investments in renewable energy and Florida’s robust economic expansion continue to create new growth opportunities.
With increasing power demand and a steadily expanding customer base, the company is well positioned to deliver sustainable growth, making the stock an appealing investment at current valuations.
Broderick Brian C v prvním čtvrtletí nově koupil 30 954 akcií společnosti NextEra Energy za zhruba 2,88 milionu USD. Akcie NEE v pondělí klesly o 0,1 %.
Broderick Brian C acquired a new position in NextEra Energy, Inc. (NYSE:NEE – Free Report) in the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 30,954 shares of the utilities provider’s stock, valued at approximately $2,875,000.
Several other institutional investors have also recently made changes to their positions in the business. Indivisible Partners bought a new stake in shares of NextEra Energy in the fourth quarter worth about $1,355,000. Carnegie Investment Counsel boosted its stake in NextEra Energy by 9.4% during the fourth quarter. Carnegie Investment Counsel now owns 458,141 shares of the utilities provider’s stock valued at $36,780,000 after buying an additional 39,250 shares during the last quarter. Swedbank AB boosted its stake in NextEra Energy by 13.4% during the fourth quarter. Swedbank AB now owns 1,016,630 shares of the utilities provider’s stock valued at $81,615,000 after buying an additional 120,389 shares during the last quarter. Fisher Funds Management LTD grew its holdings in NextEra Energy by 3.5% during the 4th quarter. Fisher Funds Management LTD now owns 619,640 shares of the utilities provider’s stock valued at $49,884,000 after buying an additional 20,709 shares in the last quarter. Finally, MGO One Seven LLC grew its holdings in NextEra Energy by 12.1% during the 4th quarter. MGO One Seven LLC now owns 137,251 shares of the utilities provider’s stock valued at $11,018,000 after buying an additional 14,828 shares in the last quarter. Hedge funds and other institutional investors own 78.72% of the company’s stock.
NextEra Energy News Roundup Here are the key news stories impacting NextEra Energy this week:
Positive Sentiment: Several pieces highlighted NextEra as one of the better-positioned utility names, citing its strong customer base, large capital spending plans, and exposure to long-term power demand growth. 4 Utility Electric Power Stocks to Buy Amid Industry Headwinds Positive Sentiment: Articles on wind energy and AI-driven electricity demand framed NEE as a beneficiary of expanding U.S. wind capacity and rising power needs from data centers and electrification. Top Wind Energy Stocks to Add to Your Portfolio for Solid Long-Term Returns Positive Sentiment: Analyst commentary cited a consensus price target near $99.90, suggesting Wall Street still sees upside from current levels. NextEra Energy, Inc. Receives $99.90 Consensus Target Price from Analysts Positive Sentiment: NextEra’s battery-storage expansion was highlighted as supporting grid reliability and renewable integration, reinforcing the company’s clean-energy growth story. Can NextEra’s Battery Storage Boost the Clean Energy Transition? Positive Sentiment: The proposed merger with Dominion Energy could create the largest regulated utility in the U.S., expand NextEra’s footprint across fast-growing southeastern states, and add scale in renewables, storage, nuclear, and natural gas. NextEra Energy and Dominion Energy file to combine… Neutral Sentiment: Some recent coverage focused on NextEra’s role in meeting rising electricity demand, especially from AI and broader infrastructure needs, but these pieces were more thematic than event-driven. Why Is NextEra Energy Central to AI Electricity? Neutral Sentiment: The Dominion deal also comes with meaningful regulatory risk and a long expected timeline, with approval required from multiple agencies and a targeted closing in the second half of 2027. NextEra Energy and Dominion Energy file to combine… Wall Street Analysts Forecast Growth Several analysts have recently issued reports on the company. Bank of America decreased their price objective on NextEra Energy from $95.00 to $93.00 and set a “neutral” rating on the stock in a report on Monday, July 13th. Scotiabank raised their target price on shares of NextEra Energy from $102.00 to $110.00 and gave the company a “sector perform” rating in a report on Friday, April 24th. Wells Fargo & Company set a $102.00 price target on shares of NextEra Energy and gave the stock an “overweight” rating in a research report on Friday, April 24th. Erste Group Bank downgraded shares of NextEra Energy from a “buy” rating to a “hold” rating in a research note on Thursday, June 25th. Finally, BTIG Research reiterated a “buy” rating and set a $112.00 price objective on shares of NextEra Energy in a research report on Friday, April 24th. Two analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, NextEra Energy has a consensus rating of “Moderate Buy” and a consensus target price of $99.64.
View Our Latest Analysis on NextEra Energy
NextEra Energy Trading Down 0.1% Shares of NYSE NEE opened at $88.73 on Monday. NextEra Energy, Inc. has a 1-year low of $69.24 and a 1-year high of $98.75. The company has a debt-to-equity ratio of 1.41, a current ratio of 0.54 and a quick ratio of 0.44. The business’s 50 day moving average is $87.94 and its two-hundred day moving average is $89.24. The stock has a market capitalization of $185.04 billion, a P/E ratio of 22.58, a PEG ratio of 2.43 and a beta of 0.67.
NextEra Energy (NYSE:NEE – Get Free Report) last posted its quarterly earnings data on Thursday, April 23rd. The utilities provider reported $1.09 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.03 by $0.06. NextEra Energy had a return on equity of 12.25% and a net margin of 29.36%.The business had revenue of $6.70 billion during the quarter, compared to analyst estimates of $7.43 billion. During the same period last year, the company earned $0.99 EPS. The company’s revenue for the quarter was up 7.3% on a year-over-year basis. NextEra Energy has set its FY 2026 guidance at 3.920-4.02 EPS. As a group, research analysts expect that NextEra Energy, Inc. will post 4.01 EPS for the current year.
NextEra Energy Announces Dividend The company also recently disclosed a quarterly dividend, which was paid on Monday, June 15th. Shareholders of record on Friday, June 5th were given a dividend of $0.6232 per share. The ex-dividend date was Friday, June 5th. This represents a $2.49 dividend on an annualized basis and a yield of 2.8%. NextEra Energy’s payout ratio is 63.36%.
About NextEra Energy (Free Report)
NextEra Energy, Inc (NYSE: NEE), headquartered in Juno Beach, Florida, is a leading clean energy company with both regulated utility operations and competitive renewable generation businesses. The company’s principal operating subsidiaries include Florida Power & Light Company (FPL), a regulated electric utility serving customers in Florida, and NextEra Energy Resources, which develops, constructs, owns and operates a large portfolio of wind, solar and energy storage projects. Together these businesses provide electricity supply, transmission and distribution services as well as utility-scale renewable generation and related services.
NextEra’s activities cover the full lifecycle of power assets, from project development and construction to operation, maintenance and asset optimization.
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NextEra Energy ke konci roku 2025 provozovala 6 168 MW bateriových úložišť a plánuje přidat dalších téměř 32–42 GW v letech 2026 až 2032. Cílí tím na vyšší spolehlivost sítě a lepší využití obnovitelných zdrojů.
Key Takeaways NextEra Energy operated 6,168 MW of battery storage as of Dec. 31, 2025.Energy Resources plans to add nearly 32-42 GW of battery storage from 2026 through 2032.Battery storage supports peak demand, lowers costs and reduces reliance on fossil-fuel generation. NextEra Energy Inc. (NEE - Free Report) is expanding the battery energy storage portfolio alongside its solar and wind assets. The battery storage investments enhance grid flexibility, support rising electricity demand and advance the transition to affordable, reliable and cleaner energy. Battery storage additions are in sync with NextEra's long-term objective of delivering affordable, reliable and low-carbon electricity.
As of Dec. 31, 2025, NextEra, through its units, operated 6,168 megawatts of battery storage, reinforcing grid reliability and supporting the integration of renewable energy. Given the increasing focus on using more renewable sources to generate electricity, NextEra unit Energy Resources has plans to add nearly 32-42 gigawatts of battery storage in the 2026-2032 period. Battery storage investment will enable the company to benefit from rising electricity demand driven by AI-powered data centers, electrification and corporate decarbonization.
Battery energy storage plays a vital role in the clean energy transition by storing excess solar and wind power for use during periods of high demand or lower renewable generation. This enhances grid reliability, supports greater renewable energy integration and reduces reliance on fossil fuel-fired power plants.
NextEra’s expanding battery storage portfolio enhances earnings visibility, supports sustainable cash flow growth and reinforces its competitive advantage in the evolving energy landscape. As battery storage becomes increasingly essential to a cleaner and more resilient power grid, NextEra is likely to remain one of the key beneficiaries of the global energy transition.
Battery Storage Allows Utilities to Use More Renewable EnergyBattery storage projects enable utilities to optimize power supply and demand, improve grid reliability and integrate more renewable energy into the electricity system. By storing excess electricity for use during peak demand, these projects enhance grid resilience, lower operating costs and ensure a reliable power supply.
Battery storage is becoming essential for utilities as renewable output grows more variable. The AES Corporation (AES - Free Report) and Xcel Energy (XEL - Free Report) are utilizing storage to shift low-cost power into peak periods, reduce curtailment, improve grid reliability and defer selected infrastructure upgrades. During the energy transition, these capabilities can strengthen asset utilization, support customer demand, lower operating volatility and create durable earnings and investment opportunities.
The Zacks Rundown for NEENextEra Energy’s Earnings Estimates Moving UpThe Zacks Consensus Estimate for NEE’s 2026 and 2027 earnings per share indicates a year-over-year increase of 8.09% and 8.7%, respectively.
Image Source: Zacks Investment Research
NEE Stock Returns Better Than Its IndustryReturn on equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits. The current ROE of the company indicates that it is using shareholders’ funds more efficiently than peers.
NextEra’s trailing 12-month ROE is 12.25%, ahead of the industry average of 11.21%.
Image Source: Zacks Investment Research
NEE Price PerformanceShares of NextEra have gained 3.3% in the past month, beating the Zacks Utility - Electric Power industry’s rally of 1.7%.
NextEra Energy v posledním obchodním dni uzavřela na 89,54 USD, což představuje denní růst o 1,31 % a lepší výkon než S&P 500. Za poslední měsíc akcie přidaly 2,62 %.
In the latest trading session, NextEra Energy (NEE - Free Report) closed at $89.54, marking a +1.31% move from the previous day. The stock outpaced the S&P 500's daily gain of 0.38%. Meanwhile, the Dow gained 0.02%, and the Nasdaq, a tech-heavy index, added 0.9%.
The stock of parent company of Florida Power & Light Co. has risen by 2.62% in the past month, leading the Utilities sector's gain of 1.43% and the S&P 500's gain of 1.27%.
The upcoming earnings release of NextEra Energy will be of great interest to investors. The company's earnings report is expected on July 24, 2026. The company is expected to report EPS of $1.08, up 2.86% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $7.97 billion, reflecting a 18.92% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $4.01 per share and a revenue of $31.84 billion, representing changes of +8.09% and +16.16%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for NextEra Energy. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.05% higher. NextEra Energy is holding a Zacks Rank of #2 (Buy) right now.
From a valuation perspective, NextEra Energy is currently exchanging hands at a Forward P/E ratio of 22.02. Its industry sports an average Forward P/E of 18.39, so one might conclude that NextEra Energy is trading at a premium comparatively.
We can additionally observe that NEE currently boasts a PEG ratio of 2.59. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Utility - Electric Power industry had an average PEG ratio of 2.74 as trading concluded yesterday.
The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 168, putting it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow NEE in the coming trading sessions, be sure to utilize Zacks.com.
Key Takeaways NEE rose 5.2% in the past month, lagging its industry but beating the utilities sector and the S&P 500.NextEra Energy plans over $94.1B in capital investment through 2030 across FPL and Energy Resources.NEE's earnings estimates are rising, with 2026 and 2027 EPS projected to grow 8.09% and 8.68%. Shares of NextEra Energy (NEE - Free Report) have gained 5.2% in the past month, lagging the Zacks Utility - Electric Power industry’s rally of 5.8%. However, the company has outperformed the Zacks Utilities sector and the S&P 500’s return in the same time frame.
NextEra Energy’s recent choppiness in share price stems from concern of its massive long-term capital expenditure plan and share dilution that will result from the proposed acquisition of Dominion Energy. Yet, rising electricity demand from data centers, AI applications and ongoing electrification, coupled with rising corporate demand for clean energy, creates a strong long-term growth opportunity for the company.
Price Performance (One Month)
Image Source: Zacks Investment Research
Another utility, The Southern Company (SO - Free Report) , is also making systematic investments in expanding its clean energy generation portfolio. The company plans to invest more than $80 billion over the next five-year period to strengthen its operations. The Southern Company’s shares have gained 7.4% over the past month.
Should you consider adding NEE to your portfolio only based on recent softness in share price movements? Let’s delve deeper and find out the factors that can help investors decide whether it is a good entry point to add the stock to their portfolio.
NEE Stock’s Tailwinds Despite Recent Softness in PriceNextEra Energy's long-term growth strategy is anchored by the planned capital investment of more than $94.1 billion through 2030 across its Florida Power & Light (“FPL”) and Energy Resources businesses. At FPL, these investments will expand generation capacity, modernize grid infrastructure and enhance system reliability to meet Florida's growing electricity demand. The expanding regulated rate base is expected to drive consistent earnings and cash flow growth.
NextEra Energy’s unit Energy Resources continues to strengthen its renewable energy platform through sustained investments in clean-energy projects. The company expects to add approximately 76.6-107.6 gigawatts (GWs) of renewable generation capacity between 2026 and 2032 and currently maintains a renewable development backlog of more than 33 GWs, providing strong visibility into its long-term growth pipeline.
A strong Florida economy continues to create attractive growth opportunities for NextEra Energy by fueling rising electricity demand. The company is well positioned to capitalize on this trend through ongoing investments in infrastructure expansion and grid modernization. Moreover, Florida Power & Light's residential electricity rates remain significantly below the national average, supporting customer growth, retention and long-term earnings expansion.
NextEra Energy also benefits from one of the utility industry's lowest-cost operating structures, supported by operational excellence, the scale of its renewable energy portfolio and strategically located assets. These advantages enhance profit margins, reinforce its competitive position and support sustainable long-term growth.
NextEra Energy’s Earnings Estimates Moving NorthThe Zacks Consensus Estimate for NEE’s 2026 and 2027 earnings per share indicates a year-over-year increase of 8.09% and 8.68%, respectively.
Image Source: Zacks Investment Research
The same for SO’s 2026 and 2027 earnings per share indicates a year-over-year increase of 6.51% and 7.53%, respectively.
NextEra Energy’s Earnings SurpriseNextEra Energy’s earnings beat estimates in each of the last four quarters, resulting in an average surprise of 6.18%.
Image Source: Zacks Investment Research
NextEra Energy Increases Shareholders ValueNextEra Energy has authorization in place to repurchase as many as 180 million shares over an unspecified duration. The company also aims to increase its dividend by nearly 10% annually through at least 2026, followed by approximately 6% yearly growth from the end of 2026 through 2028, pending board approval.
NEE’s current quarterly dividend is 62.32 cents per share, while the dividend yield of 2.82% remains higher than 1.38% of the S&P 500 composite.
Another utility, Duke Energy Corporation (DUK - Free Report) , is also making smart capital investments to expand its clean energy generation assets. The current dividend yield of DUK is 3.29% better than its industry and the S&P 500 level.
NEE Stock Returns Better Than Its IndustryReturn on equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits. The current ROE of the company indicates that it is using shareholders’ funds more efficiently than peers.
NextEra Energy’s trailing 12-month ROE is 12.25%, ahead of the industry average of 11.21%.
Image Source: Zacks Investment Research
Duke Energy’s ROE is currently pegged at 9.73% lower than the industry level.
NextEra Energy’s Shares Trading at a PremiumThe company is currently valued at a premium compared with its industry on a forward 12-month P/E basis. NextEra Energy is currently trading at 21.1X compared with the industry average of 15.86X.
Image Source: Zacks Investment Research
Summing UpNextEra Energy continues to deliver steady operational and financial performance, supported by growing demand for clean energy across its service territories. The company is strategically expanding its clean energy portfolio to address this increasing demand, while Florida's robust economic growth is creating additional opportunities to expand the regulated utility business.
Given the recent softness in share price, investors can still consider adding NextEra Energy in their portfolio for potential long-term gains as the stock currently has a Zacks Rank #2 (Buy) with rising earnings estimates and strong ROE distributes a stable dividend for its shareholders.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
NextEra Energy těží z dlouhodobých PPA s Google Cloud a Meta, které zvyšují smluvní příjmy z větrných, solárních a bateriových projektů. Podepsaný backlog činí 33 GW a dává firmě silnou viditelnost budoucích zisků.
Key Takeaways NextEra's PPAs add contracted revenues and support renewable growth as clean power demand rises.PPAs with Google Cloud and Meta expand demand for wind, solar and battery storage projects.A 33-GW signed project backlog gives NextEra strong earnings visibility and supports new development. NextEra Energy (NEE - Free Report) offers an attractive long-term investment opportunity, driven by its leadership in renewable energy and an expanding portfolio of long-term power purchase agreements (PPAs). Rising demand for reliable, carbon-free electricity from data centers, technology companies and industrial customers supports continued growth, while its regulated utility business provides stable cash flows and a resilient earnings base.
Strategic partnerships are strengthening NextEra's growth outlook. Agreements with Google Cloud and Meta are expanding demand for the company's wind, solar and battery storage projects while adding long-duration contracted revenues. These PPAs enhance earnings visibility, reduce exposure to power price volatility and diversify the customer base through high-quality counterparties.
NextEra’s subsidiary has entered into an MOU with Xcel Energy to accelerate the development of new power generation for large electricity consumers, including data centers. The agreement strengthens their long-standing partnership and supports faster capacity expansion to meet rising power demand.
With disciplined capital investment, a robust renewable development pipeline and a growing backlog of contracted assets, NextEra is well positioned to deliver sustainable earnings growth.
NextEra's expanding portfolio of PPAs provides the foundation for its renewable growth by securing stable, contracted revenues and supporting new project development. These agreements underpin a 33-gigawatt (“GW”) backlog of signed projects, giving the company strong earnings visibility. Supported by this contracted pipeline, NextEra’s unit Energy Resources plans to significantly expand its renewable generation and storage portfolio, reinforcing long-term earnings growth as demand for clean electricity continues to rise.
Long-Term PPAs Boost Prospects of the UtilitiesLong-term PPAs benefit utilities by providing stable, contracted revenues, improving cash flow visibility and reducing exposure to power price volatility. This supports infrastructure investments, strengthens earnings stability and enables continued expansion of reliable, clean energy generation.
Other than NextEra Energy, Dominion Energy (D - Free Report) and Duke Energy (DUK - Free Report) are well positioned to benefit from long-term PPAs. These agreements provide stable, predictable revenues, support renewable energy investments, reduce market risk and improve earnings visibility, enabling both utilities to meet growing demand for reliable, low-carbon electricity while supporting long-term growth.
NextEra’s Earnings Estimates Moving NorthThe Zacks Consensus Estimate for NEE’s 2026 and 2027 earnings per share indicates a year-over-year increase of 8.09% and 8.68%, respectively.
Image Source: Zacks Investment Research
NextEra Price PerformanceShares of NextEra have gained 6.2% in the past six-month period compared with the Zacks Utility - Electric Power industry’s rally of 8.5%.
Price Performance (Six months)
Image Source: Zacks Investment Research
NEE Stock Returns Better Than Its IndustryReturn on equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits. The current ROE of the company indicates that it is using shareholders’ funds more efficiently than peers.
NextEra’s trailing 12-month ROE is 12.25%, ahead of the industry average of 11.21%.
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NEE’s RankNextEra currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Boom v oblasti AI datacenter zvyšuje poptávku po energetické infrastruktuře a sítích. ETF jako PAVE a RBLD nabízejí diverzifikovanou expozici na tento trend.
Key Takeaways AI data center expansion is boosting demand for power infrastructure, utilities and grid equipment providers.AI infrastructure spending is projected to rise as data center demand grows.ETFs like PAVE and RBLS offer diversified exposure to firms supporting the AI infrastructure build-out. While hyperscalers building next-generation cloud platforms and semiconductor giants producing HBM chips are stealing the spotlight in most instances, the physical structure of the artificial intelligence (AI) industry relies on a less glamorous but equally critical pillar — power infrastructure. This includes utilities like NextEra Energy (NEE - Free Report) and grid-to-chip infrastructure providers like Eaton Corp. (ETN - Free Report) that generate and manage the electricity which feeds power-hungry AI data centers, thereby enabling the smooth operation of high-capacity large-language model (LLM) workloads.
Amid the ongoing AI data center boom, these firms are thus profiting immensely by providing the essential "picks and shovels" for the AI era.
For investors who are increasingly wary of overconcentrated exposure or high valuations in mega-cap technology and hyperscale cloud platforms, shifting focus toward exchange-traded funds (ETFs) holding these physical enablers provides an excellent way to diversify portfolios while staying tethered to the AI secular tailwind.
Below, we discuss how these power infrastructure and utility companies are benefiting from the unprecedented AI data center expansion, using specific examples to provide the insights investors may need before making investment decisions.
The Physical Backbones of the AI Build-OutThe rapid transformation of data centers into dense, high-performance computing "AI factories" is driving massive order backlogs and thereby strong revenue growth visibility for electrical equipment manufacturers, utility players, as well as grid management and data center cooling solutions providers like those mentioned below:
Quanta Services (PWR - Free Report) : It is the largest electrical contractor in the United States by revenues, specializing in the construction of high-voltage transmission lines, electrical substations, and comprehensive power grid infrastructure. It ended the first quarter of 2026 with a record backlog of approximately $48.5 billion, with management highlighting data centers as a major growth engine.
Eaton: It provides essential switchgear, circuit breakers, transformers, and power distribution equipment for data centers and the grid. ETN’s 12-month rolling average order for its Electrical Americas segment went up 42% in the first quarter, driven by data center momentum.
Bloom Energy (BE - Free Report) : It offers solid oxide fuel cells for on-site power generation, reducing dependence of data centers on the grid and minimizing exposure to power interruptions. The company has signed multiple agreements with hyperscalers, the latest of which is with Oracle to deploy 2.8 gigawatts (GW) of Bloom’s fuel cell systems to support the rapid buildout of Oracle’s AI and cloud computing infrastructure.
Meanwhile, the massive 1.8 GW Wyoming data center facility is expected to include 900 megawatts (MW) of Bloom’s fuel cells, representing about $3 billion in revenues for BE in the coming years, according to an analysis by Morgan Stanley’s David Arcaro. (as cited in CNBC).
Caterpillar (CAT - Free Report) : It supplies on-site power generation and cooling equipment for data-intensive facilities. The company registered a solid 22% year-over-year improvement in its Power & Energy segment’s sales during the first quarter, thanks to rapid deployment of large reciprocating engines and turbines, primarily in data center applications.
NextEra Energy: It is the world's largest publicly traded utility by market cap, which currently expects to build between 15 and 30 GW of new generation capacity for U.S. data centers by 2035. In March 2026, the U.S. Department of Commerce selected NEE to build 9.5 GW of new gas-fired generation to serve large load from data centers in Texas and Pennsylvania.
AI Infrastructure Spending Outlook & ETFs to BuySince AI-related facilities require enormous amounts of power, global investments in transmission networks, substations, grid modernization, and power generation projects are rising rapidly. To this end, Gartner projects building AI foundations to alone drive a 49% increase in spending on AI-optimized servers in 2026, while AI infrastructure is expected to add $401 billion in spending this year as technology providers build out AI foundations.
Amid this backdrop, investors looking to capture this physical spending wave through diversified baskets rather than picking individual stocks may consider adding the following ETFs, focused directly on fueling the physical AI build-out, to their portfolios:
Global X U.S. Infrastructure Development ETF (PAVE - Free Report)
This fund, with net assets worth $14.76 billion, offers exposure to 100 companies that stand to benefit from a potential increase in infrastructure activity in the United States, including those involved in the production of raw materials, heavy equipment, engineering, and construction. PWR holds the top spot in this fund, with 3.97% weightage, while ETN holds the fourth spot with 3.25% weightage.
PAVE has soared 25.5% year to date and carries a Zacks ETF Rank #2 (Buy). The fund charges 47 basis points (bps) as fees and traded at a good volume of 2.29 million shares in the last trading session.
This fund, with net assets worth $11.96 billion, offers exposure to 120 companies that are primarily engaged and involved in electric grid, electric meters and devices, networks, energy storage and management, and enabling software used by the smart grid infrastructure sector. ETN holds the top spot in this fund, with 8.24% weightage, while PWR holds the fourth spot with 8.04% weightage.
GRID has surged 24.3% year to date and carries a Zacks ETF Rank #2. The fund charges 56 as fees and traded at a volume of 0.52 million shares in the last trading session.
iShares U.S. Infrastructure ETF (IFRA - Free Report)
This fund, with net assets worth $4.69 billion, comprises 161 U.S. companies with infrastructure exposure by balancing across both infrastructure enablers and infrastructure asset owners. CAT holds the top spot in this fund, with 4.27% weightage, while NEE holds the second spot with 3.97% weightage. PWR holds the fourth position in this fund with 3.68% weightage.
IFRA has rallied 21.8% year to date and carries a Zacks ETF Rank #2. The fund charges 30 as fees and traded at a volume of 0.30 million shares in the last trading session.
First Trust Alerian U.S. NextGen Infrastructure ETF (RBLD - Free Report)
This fund, with net assets worth $40.8 million, comprises 101 U.S. infrastructure companies. BE holds the top spot in this fund, with 1.94% weightage, while CAT holds the ninth spot with 1.20% weightage.
RBLD has rallied 21.4% year to date and carries a Zacks ETF Rank #2. The fund charges 30 as fees and traded at a volume of 0.003 million shares in the last trading session.
NextEra Energy plánuje do roku 2030 kapitálové investice přes 94,1 mld. USD do rozšíření výroby, sítě a obnovitelných zdrojů. Firma čeká růst zisku na akcii v letech 2026 a 2027 o 8,09 % a 8,84 %.
Key Takeaways NextEra Energy is supported by stable regulated utility operations and a leading renewable platform.NEE plans more than $94.1B in capital investments through 2030 to expand generation and grid assets.NextEra Energy's ROE tops the industry average, and its shares have outperformed over six months. NextEra Energy Inc. (NEE - Free Report) is an attractive long-term utility investment, supported by its combination of stable regulated utility operations and a leading renewable energy platform. Its Florida Power & Light (“FPL”) unit generates predictable earnings, while NextEra Energy Resources drives growth through the extensive wind, solar and energy storage portfolio. This diversified business model balances earnings stability with strong long-term growth opportunities.
A cornerstone of NextEra Energy's growth strategy is its planned capital investment of more than $94.1 billion through 2030. At FPL, these investments will expand generation capacity, upgrade grid infrastructure and improve reliability to meet rising electricity demand in Florida. The resulting growth in the regulated rate base is expected to support steady earnings and cash flow expansion.
At NextEra Energy Resources, capital spending will accelerate the development of renewable energy, battery storage and transmission assets. Growing power demand from data centers, AI applications and electrification trends, along with increasing corporate demand for clean energy, provides a strong foundation for growth.
Overall, NextEra Energy's investment program strengthens both regulated utility and renewable energy businesses, positioning it for sustained earnings growth and expanding asset base. With a disciplined capital allocation strategy, NextEra Energy appears well-positioned to deliver sustainable shareholder value through consistent earnings growth and dividend expansion over the long term.
Capital Investments: A Key Growth Engine for UtilitiesCapital expenditures support long-term utility growth by expanding generation assets, upgrading grid infrastructure and enhancing reliability. These investments grow the regulated rate base, improve operational efficiency and boost earnings.
Duke Energy's (DUK - Free Report) outlook is supported by its regulated utility operations and robust capital investment plan of $103 billion in the 2026-2030 period. Investments in grid modernization, renewable energy and transmission infrastructure are expected to expand Duke Energy's operation and drive consistent earnings.
The Southern Company (SO - Free Report) benefits from a strategic capital spending program. The $78.1 billion Investments through 2030 in grid upgrades, generation capacity and clean energy projects are expected to grow Southern Company’s rate base and enhance the reliability of its services.
NextEra Energy’s Earnings Estimates Moving NorthThe Zacks Consensus Estimate for NEE’s 2026 and 2027 earnings per share indicates a year-over-year increase of 8.09% and 8.84%, respectively.
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NEE Stock Returns Better Than Its IndustryReturn on equity (“ROE”) is a financial ratio that measures how well a company uses its shareholders’ equity to generate profits. The current ROE of the company indicates that it is using shareholders’ funds more efficiently than peers.
NextEra Energy’s trailing 12-month ROE is 12.25%, ahead of the industry average of 11.22%.
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NEE Price PerformanceShares of NextEra Energy have gained 7.4% in the past six months compared with the Zacks Utility - Electric Power industry’s rally of 7%.
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NEE’s Zacks RankNextEra Energy currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
