Trade theNextera Energy share!
NEXTERA ENERGY

Analysis before buying or selling Nextera Energy shares

Trade theNextera Energy share!
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If you are interested in investing in the US energy sector, you may have heard of Nextera Energy stock. But before you can invest in this stock or buy it online, you need to be able to analyse it consistently and therefore have some essential information about the company. In this article, we will explain how to do this analysis with specific data such as the group's activities and sources of revenue, a presentation of its main competitors and some examples of recent partnerships. We will also explain how to perform quality fundamental analysis on this stock.

Elements to consider before selling or buying Nextera Energy shares

Analysis N°1

Firstly, it will be necessary to monitor the wind market as a whole and the company's increase in electricity production from this sector in order to effectively meet demand.

Analysis N°2

The possibility of the development of other modes of energy production, particularly in the nuclear sector, is also one of the elements that can influence this stock.

Analysis N°3

It will also be important to keep an eye on the group's CO2 reduction plans and the achievement of the targets set.

Analysis N°4

Nextera Energy's business and profitability are also being impacted by price volatility and rising production costs and strategies to address these will need to be monitored.

Analysis N°5

Of course, it will be necessary to keep an eye on the competition in this sector of activity and on the arrival of new entrants in this segment.

Analysis N°6

Economic growth or periods of recession can also have a major influence on the activities of this company and it will therefore be necessary to keep an eye on the major economic indicators.

Analysis N°7

Finally, environmental regulations may also have an influence on the group's activities.

Analysis N°8

Finally, the company's financial results and their evolution over time should be closely monitored and compared with analysts' expectations.

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General presentation of Nextera Energy

A good knowledge of Nextera Energy is also essential if you want to understand how this stock may evolve over time. To help you do this, here is a complete overview of the company, its activities and its main sources of income.

Nextera Energy Inc is a US energy company that specialises in the generation, transmission and sale of electricity.

In order to better understand the activities carried out by the company, it is possible to divide them into different divisions according to the share of turnover they generate and in this way:

  • The production, transmission, distribution and sale of electricity generate 73.4% of the turnover with a customer base of residential, commercial and industrial customers. The company's current generation capacity is 28,450 MW with a network of 123,919.5 km of power lines and 696 substations.
  • The production, transmission and distribution of renewable energies generate 17.8% of the turnover with a production capacity of 24,600 MW, a network of 4,313 km of electric lines and 265 substations.
  • The production, transmission, distribution and sale of electrical energy in north-west Florida with the subsidiary Gulf Power generates 8.8% of the turnover with a production capacity of 3,500 MW and a network of 15,228.8 km of electrical lines.
Analysis before buying or selling Nextera Energy shares
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The major competitors of Nextera Energy

The Nextera Energy group is of course not the only player in the energy sector and faces many major competitors, the most important of which we suggest you discover:

Duke Energy

This NYSE-listed US stock company is in the energy business, generating, transmitting and distributing electricity. It owns base load and peaking power plants with a total capacity of 35,000 MW.

Southern Company

This other US energy company has a variety of activities, primarily generating, transmitting and distributing electricity in the southeastern US. Headquartered in Atlanta, it is currently the fourth largest utility in the United States with sales of more than 186.1 terawatt hours and an installed capacity of more than 42,932 megawatts.

America, Electric Power

This American joint stock company is also active in the energy sector and generates, transmits and distributes electricity in more than 11 US states. With 80 power plants and a total installed capacity of 39,000 megawatts, the company is one of the country's largest electricity producers. The AEP Group distributes electricity to more than 5.2 million customers in the territories of its seven subsidiaries, including AEP Ohio, AEP Texas, Appalachian Power, Indiana Michigan Power, Kenticky Power, Public Service Company of Oklahoma and Southwestern Electric Power Company.

Tennessee Valley Authority

This US corporation is responsible for navigation, flood control, power generation and economic development in the Tennessee Valley. The group's territory currently covers much of Tennessee, large portions of Alabama and Mississippi and parts of Georgia, Kentucky, North Carolina and Virginia.

Exelon Corporation

This company is an electricity generation and distribution company operating in the United States. Exelon serves 5.4 million electricity customers and 485,000 natural gas customers. The group's headquarters are located in Chicago.


The major partners of Nextera Energy

Of course, Nextera Energy does not only have enemies, but also allies to boost its sales and revenues. To help you better understand what is at stake in this type of partnership, here are some examples of its most recent alliances with strategic partners.

Daimler Truck North America

This subsidiary of the Daimler Group recently partnered with Nextera Energy Resources and BlackRock Renewable Power with the signing of a tripartite memorandum of understanding. The purpose of the agreement is to lay the groundwork for a joint venture to design, develop, install and operate a nationwide, high-performance charging network for battery electric and medium- and heavy-duty hydrogen fuel cell vehicles in the United States. Operations will begin with the construction of the first sites in 2023 and initial funding of $650 million split equally between the three parties.

Google 

Another partnership has been signed with the company Google, which has announced that it has signed a 20-year partnership with the company Nextera Energy concerning a wind farm. This company will supply the energy needed to run the group's various data centres for the next twenty years. Thanks to this alliance, Google will be able to protect itself against rising energy costs and will benefit from a better brand image. Nextera will be able to secure its future revenues even if the amount of the contract has not been announced. The move is part of the company's corporate project, Going Green at Google, which aims to reduce the firm's carbon footprint and increase the use of renewable energy.

General Electric 

Finally, a last partnership was set up with GE Energy Financial Services, a division of General Electric and Sumitomo Corporation America, with the aim of launching one of the largest solar site projects in the world in the Desert Center region of California. According to the information provided on this huge ecological project, the inauguration of Desert Sunlight Solar Farm, a 550-megawatt solar farm, was carried out with great pomp and ceremony and was attended by the US Secretary of the Interior, Sally Jewell.

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Frequently Asked Questions

Who are the current major shareholders of the Nextera Energy Group?

Currently, 59.13% of the Nextera Energy group's share capital is floating. The remainder is owned by various private shareholders including Vanguard Group with 8.91%, BlackRock with 7.69%, State Street Corporation with 4.82%, JPMorgan Chase & Co with 3.47%, Wellington Management Company with 3.16%, T Rowe Price Associates with 2.82%, Vanguard Investments Australia with 2.73%, Bank of America Corporation with 2.50%, BlackRock Fund Advisors with 2.47%, JP Morgan Investment Management with 2.30%.

On which market and stock index is the Nextera Energy share listed?

As Nextera Energy is an American company, its share price is listed on the Main Market of the NYSE or New York Stock Exchange, which is currently the largest stock market in the US. In addition, because of the group's large market capitalisation, its stock is also included in the S&P500 stock index, which is the largest index on the US stock market.

How to anticipate Nextera Energy share price changes?

The only way to anticipate future changes in Nextera Energy's share price is to carry out analysis, although this does not provide any certainty as to the future evolution of this asset. You can get signals by doing a technical analysis of the stock by studying the stock charts and a fundamental analysis based on the news.

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