NextEra Energy Inc.
Find Ratings Reports
-0.54 |
-0.76%
NEXTERA ENERGY INC's gross profit margin for the first quarter of its fiscal year 2022 has significantly decreased when compared to the same period a year ago. Sales and net income have dropped, underperforming the average competitor within its subsector. NEXTERA ENERGY INC has very weak liquidity. Currently, the Quick Ratio is 0.29 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has remained virtually unchanged only decreasing by 3.98% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
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| Income Statement | Q1 FY22 | Q1 FY21 |
|---|---|---|
| Net Sales ($mil) | 2890.0 | 3726.0 |
| EBITDA ($mil) | 110.0 | 1418.0 |
| EBIT ($mil) | -775.0 | 669.0 |
| Net Income ($mil) | -451.0 | 1666.0 |
| Balance Sheet | Q1 FY22 | Q1 FY21 |
|---|---|---|
| Cash & Equiv. ($mil) | 2738.0 | 2131.0 |
| Total Assets ($mil) | 144945.0 | 132441.0 |
| Total Debt ($mil) | 59693.0 | 52668.0 |
| Equity ($mil) | 35887.0 | 37378.0 |
| Profitability | Q1 FY22 | Q1 FY21 |
|---|---|---|
| Gross Profit Margin | 3.81 | 38.06 |
| EBITDA Margin | 3.8 | 38.05 |
| Operating Margin | -26.82 | 17.95 |
| Sales Turnover | 0.11 | 0.13 |
| Return on Assets | 1.0 | 3.14 |
| Return on Equity | 4.06 | 11.14 |
| Debt | Q1 FY22 | Q1 FY21 |
|---|---|---|
| Current Ratio | 0.49 | 0.52 |
| Debt/Capital | 0.62 | 0.58 |
| Interest Expense | -142.0 | -421.0 |
| Interest Coverage | 5.46 | -1.59 |
| Share Data | Q1 FY22 | Q1 FY21 |
|---|---|---|
| Shares outstanding (mil) | 1964.0 | 1961.45 |
| Div / share | 0.43 | 0.39 |
| EPS | -0.23 | 0.84 |
| Book value / share | 18.27 | 19.06 |
| Institutional Own % | n/a | n/a |
| Avg Daily Volume | 9944394.0 | 9437986.0 |
HOLD. NEXTERA ENERGY INC's P/E ratio indicates a significant premium compared to an average of 55.45 for the Utilities subsector and a significant premium compared to the S&P 500 average of 19.86. For additional comparison, its price-to-book ratio of 3.75 indicates valuation on par with the S&P 500 average of 3.81 and a premium versus the subsector average of 2.48. The price-to-sales ratio is well above both the S&P 500 average and the subsector average, indicating a premium. Upon assessment of these and other key valuation criteria, NEXTERA ENERGY INC proves to trade at a premium to investment alternatives.
| Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NEE 92.58 | Peers 55.45 | NEE 16.36 | Peers 13.49 | |||||||||||||||||||||
|
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations. NEE is trading at a significant premium to its peers. |
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. NEE is trading at a premium to its peers. |
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| Price/Projected Earnings |
|
Price to Earnings/Growth |
|
|||||||||||||||||||||
| NEE 22.46 | Peers 21.14 | NEE 1.66 | Peers 3.27 | |||||||||||||||||||||
|
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations. NEE is trading at a premium to its peers. |
Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. NEE trades at a significant discount to its peers. |
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| Price/Book |
|
Earnings Growth |
|
|||||||||||||||||||||
| NEE 3.75 | Peers 2.48 | NEE -64.98 | Peers 14.90 | |||||||||||||||||||||
|
Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. NEE is trading at a significant premium to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, NEE is expected to significantly trail its peers on the basis of its earnings growth rate. |
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| Price/Sales |
|
Sales Growth |
|
|||||||||||||||||||||
| NEE 8.29 | Peers 3.38 | NEE -5.13 | Peers 16.23 | |||||||||||||||||||||
|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. NEE is trading at a significant premium to its subsector. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. NEE significantly trails its peers on the basis of sales growth. |
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