NextEra Energy's Q3 operating revenue grows less than expected

By Reuters News


Overview

  • US electric utility's Q3 operating revenue missed analyst expectations

  • Adjusted EPS for Q3 rose nearly 10% year-on-year


Outlook

  • NextEra Energy reaffirms 2026 adjusted EPS guidance of $3.92 to $4.02 and targets the high end

  • Company targets 8%+ annual adjusted EPS growth through 2032 and 2032-35, off its 2025 base

  • NextEra Energy and Dominion Energy expect their pending merger to close in H2 2027


Result Drivers

  • FPL CAPITAL INVESTMENT – Florida Power & Light Company (FPL) said earnings growth was driven primarily by disciplined capital investments

  • NEER INVESTMENTS AND ASSETS – New investments and existing energy assets added $0.14 to NextEra Energy Resources's (NEER) Q3 EPS

  • RENEWABLES AND STORAGE ORIGINATION – NEER added 3.7 GW of renewables and storage to its backlog, which reached about 36.7 GW


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Operating Revenue

Miss

$8.09 bln

$8.63 bln (8 Analysts)

Q3 Adjusted EPS

$1.24

$1.18 (12 Analysts)


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the electric utilities peer group is "buy"

  • Wall Street's median 12-month price target for NextEra Energy, Inc. is $99.00, about 25.5% above its October 20 closing price of $78.86

  • The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 21 three months ago


Reuters Recommended Reads

  • Oct 21 - India's Adani Green Energy posts quarterly profit rise on higher power sales

  • Oct 19 - Norway may see 17 TWh power deficit from 2035, grid operator report warns

  • Oct 20 - US Energy Department to invest nearly $1 billion for new power grid upgrades


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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