NEE · NEXTERA ENERGY INC

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NextEra Energy, Inc., through its subsidiaries, generates, stores, transmits, distributes, and sells electric power to retail and wholesale customers in North America. It operates through Florida Power & Light Company (FPL) and NEER segments. The company generates electricity from wind, solar, nuclear, natural gas, and other clean energy assets.

Close · 3M

-11.78%

Held by 3 AI ETFs

LQAI0.730%

as of Sep 2

AIEQ0.050%

as of Sep 4

PQUS0.040%

as of Sep 1

Signal performance

Each tracked ETF's moves on this stock, grouped by fund. Returns are measured from the signal date to the latest close — hypothetical, no commissions or slippage.

Buy signals7

Win rate43% (3/7)

Avg buy return-2.67%

LQAInow 0.730% of fund7 signals

LQAI · Weight increase · 2d

weight 0.670% → 0.730% (+0.060 pp)·stock down 4.2% in the 30 days before

Sep 1·entry $82.93·now $84.06Fresh

+1.36%

since Sep 1

LQAI · Weight decrease · 2d

weight 0.690% → 0.670% (-0.020 pp)·stock down 6.9% in the 30 days before

Aug 28·entry $81.84·now $84.06

+2.71%

since Aug 28

LQAI · Weight decrease · 2d

weight 0.710% → 0.690% (-0.020 pp)·stock down 3.5% in the 30 days before

Aug 13·entry $86.01·now $84.06

-2.27%

since Aug 13

LQAI · Weight increase · 2d

weight 0.600% → 0.620% (+0.020 pp)·stock down 0.2% in the 30 days before

Jul 29·entry $88.46·now $84.06Fresh

-4.97%

since Jul 29

LQAI · Weight increase · 2d

weight 0.580% → 0.600% (+0.020 pp)·stock up 3.9% in the 30 days before

Jul 23·entry $89.79·now $84.06Fresh

-6.38%

since Jul 23

LQAI · Weight decrease · 2d

weight 0.600% → 0.580% (-0.020 pp)·stock up 1.4% in the 30 days before

Jul 21·entry $87.93·now $84.06

-4.40%

since Jul 21

LQAI · New entry · 1d

weight 0 → 0.580% (new)·stock up 3.3% in the 30 days before

Jul 7·entry $88.47·now $84.06Fresh

-4.98%

since Jul 7

AIEQnow 0.050% of fund3 signals

AIEQ · New entry · 1d

weight 0 → 0.050% (new)·stock down 4.2% in the 30 days before

Sep 1·entry $82.93·now $84.06Fresh

+1.36%

since Sep 1

AIEQ · Exit · 1d

weight 0.100% → 0 (exited)·stock up 3.2% in the 30 days before

Jul 1·entry $86.37·now $84.06

-2.67%

since Jul 1

AIEQ · New entry · 1d

weight 0 → 0.100% (new)·stock down 7.6% in the 30 days before

May 30·entry $83.66·now $84.06Fresh

+0.48%

since May 30

PQUSnow 0.040% of fund1 signal

PQUS · New entry · 1d

weight 0 → 0.080% (new)·stock up 1.7% in the 30 days before

May 16·entry $89.04·now $84.06Fresh

-5.59%

since May 16

Sell signals show what the stock did after the AI exited. A negative number means the AI's exit was well-timed.

Buffett-style framework

Fails the frameworkas of May 18

One AI ETF, PQUS, recently initiated a new position in NextEra Energy, suggesting a positive outlook. Conversely, QRFT has been decreasing its weight, indicating a more cautious stance. The value-investing framework's 'Fail' verdict primarily due to financial health and valuation concerns aligns with QRFT's caution but conflicts with PQUS's entry.

Circle of CompetenceThe company's mix of regulated utility operations and long-term contracted renewable energy assets suggests a predictable earning power, suitable for long-term cash flow projections.
Economic MoatNextEra Energy benefits from regulatory entitlements for its utility operations and scale advantages in renewable energy development, creating durable economic moats.
ManagementInformation on management's candor, capital allocation decisions, and ownership stake is not available in the provided data to assess this criterion fully.
Financial HealthThe exceptionally high EV/EBITDA ratio of 125.73 raises significant concerns about potential leverage or an unsustainable valuation, and a comprehensive 10-year ROE history is absent to meet the framework's criteria.
Margin of SafetyThe current valuation metrics, including a PER of 23.79 and PBR of 3.06, suggest the company may not be trading at a sufficient discount to intrinsic value to provide an adequate margin of safety.

While NextEra Energy operates within a predictable circle of competence and possesses durable economic moats, its current financial health raises significant red flags due to an exceptionally high EV/EBITDA ratio. Furthermore, the prevailing valuation metrics do not suggest a sufficient margin of safety for investment. Without more comprehensive financial history and a clearer valuation discount, the company fails to meet the stringent criteria of this framework.

Educational interpretation generated by AI applying frameworks Warren Buffett documented in his shareholder letters and other public writings. Not a statement by Mr. Buffett or Berkshire Hathaway, and not investment advice.