Best in Class: FPL Rides Like the Wind

In California's Mojave Desert, NextEra co-owns and operates the world's largest solar site, which includes seven individual solar plants. Altogether, the division generates 310 megawatts of solar power.

In addition, it produces 361 megawatts of energy from 83 generating units at 24 hydroelectric projects in Maine. And NextEra boasts one of the largest competitive nuclear energy businesses in the U.S.

The electrical-generation unit claims that more than 90% of the 15,500 megawatts it generates is derived from clean and renewable sources such as wind, solar, hydro, natural gas and nuclear energy.

NextEra helped FPL Group's adjusted earnings per share increase 10% in 2008, the firm's third consecutive year of double-digit growth. Despite Florida's economic woes resulting from the collapse in homebuilding and less tourism, earnings will climb 10.2% this year and 12.3% in 2010, analysts estimate.

While the state routinely attracted an annual 300,000 to 500,000 new residents in recent years, there was an outflow last year and there may be little or no growth through 2010. FPL Group's Florida Power & Light rate-regulated electric utility experienced flat customer growth in 2008, with the percentage of its electric meters that were either inactive or using minimal amounts of electricity at a historic high.

With 74 million baby boomers expected to retire over the next two decades, however, customer growth will pick up again. The utility last year broke ground at the first of three planned utility-scale solar-generation facilities in Florida.

Of nine domestic electric utility companies with revenue of at least $10 million, only FPL Group gets a grade in the "A" range from TheStreet.com Ratings. Among those, FPL Group and Entergy(ETR) are the sole "buy"-recommended stocks. Duke Energy(DUK), Pepco(POM), Southern Co.(SO) and American Electric Power(AEP) are all classified as "hold"-recommended by TheStreet.com Ratings.

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