NEE Relative Valuation
NEE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, NEE is overvalued; if below, it's undervalued.
Historical Valuation
Nextera Energy Inc (NEE) is now in the Fair zone, suggesting that its current forward PE ratio of 22.67 is considered Fairly compared with the five-year average of 24.98. The fair price of Nextera Energy Inc (NEE) is between 76.57 to 108.87 according to relative valuation methord.
Relative Value
Fair Zone
76.57-108.87
Current Price：84.95
Fair
22.25
PE
1Y
3Y
5Y
Trailing
Forward
14.80
EV/EBITDA
Nextera Energy Inc. (NEE) has a current EV/EBITDA of 14.80. The 5-year average EV/EBITDA is 16.14. The thresholds are as follows: Strongly Undervalued below 10.14, Undervalued between 10.14 and 13.14, Fairly Valued between 19.14 and 13.14, Overvalued between 19.14 and 22.14, and Strongly Overvalued above 22.14. The current Forward EV/EBITDA of 14.80 falls within the Historic Trend Line -Fairly Valued range.
24.44
EV/EBIT
Nextera Energy Inc. (NEE) has a current EV/EBIT of 24.44. The 5-year average EV/EBIT is 27.20. The thresholds are as follows: Strongly Undervalued below 16.89, Undervalued between 16.89 and 22.04, Fairly Valued between 32.36 and 22.04, Overvalued between 32.36 and 37.51, and Strongly Overvalued above 37.51. The current Forward EV/EBIT of 24.44 falls within the Historic Trend Line -Fairly Valued range.
5.60
PS
Nextera Energy Inc. (NEE) has a current PS of 5.60. The 5-year average PS is 6.11. The thresholds are as follows: Strongly Undervalued below 3.46, Undervalued between 3.46 and 4.78, Fairly Valued between 7.44 and 4.78, Overvalued between 7.44 and 8.76, and Strongly Overvalued above 8.76. The current Forward PS of 5.60 falls within the Historic Trend Line -Fairly Valued range.
15.96
P/OCF
Nextera Energy Inc. (NEE) has a current P/OCF of 15.96. The 5-year average P/OCF is 13.55. The thresholds are as follows: Strongly Undervalued below 8.16, Undervalued between 8.16 and 10.86, Fairly Valued between 16.25 and 10.86, Overvalued between 16.25 and 18.94, and Strongly Overvalued above 18.94. The current Forward P/OCF of 15.96 falls within the Historic Trend Line -Fairly Valued range.
-21.30
P/FCF
Nextera Energy Inc. (NEE) has a current P/FCF of -21.30. The 5-year average P/FCF is -23.53. The thresholds are as follows: Strongly Undervalued below -53.78, Undervalued between -53.78 and -38.66, Fairly Valued between -8.40 and -38.66, Overvalued between -8.40 and 6.72, and Strongly Overvalued above 6.72. The current Forward P/FCF of -21.30 falls within the Historic Trend Line -Fairly Valued range.
Nextera Energy Inc (NEE) has a current Price-to-Book (P/B) ratio of 3.27. Compared to its 3-year average P/B ratio of 3.12 , the current P/B ratio is approximately 4.79% higher. Relative to its 5-year average P/B ratio of 3.57, the current P/B ratio is about -8.66% higher. Nextera Energy Inc (NEE) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of -8.89%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of -7.46% , the current FCF yield is about -100.00% lower.
3.21
P/B
Median3y
3.12
Median5y
3.57
-6.77
FCF Yield
Median3y
-8.89
Median5y
-7.46
Competitors Valuation Multiple
The average P/S ratio for NEE's competitors is , providing a benchmark for relative valuation. Nextera Energy Inc Corp (NEE) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 5.27%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of NEE increased by 17.28% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 21.03 to 26.80.
The secondary factor is the Revenue Growth, contributed 5.27%to the performance.
Overall, the performance of NEE in the past 1 year is driven by Margin Expansion. Which is more sustainable.
People Also Watch
FAQ
Is Nextera Energy Inc (NEE) currently overvalued or undervalued?
What is Nextera Energy Inc (NEE) fair value?
How does NEE's valuation metrics compare to the industry average?
What is the current P/B ratio for Nextera Energy Inc (NEE) as of Dec 05 2025?
What is the current FCF Yield for Nextera Energy Inc (NEE) as of Dec 05 2025?
What is the current Forward P/E ratio for Nextera Energy Inc (NEE) as of Dec 05 2025?