NextEra Energy, Inc. (NYSE:NEE) is included among the 10 Best Electrical Infrastructure Stocks to Buy According to Hedge Funds.
With a market cap of over $204 billion as of the writing of this article, NextEra Energy, Inc. (NYSE:NEE) is the most valuable utility company in the world. The company boasts a diverse mix of energy sources, including natural gas, nuclear, renewable energy, and battery storage.
On April 27, BMO Capital bumped up the firm’s price target on NextEra Energy, Inc. (NYSE:NEE) from $99 to $104, while keeping an ‘Outperform’ rating on the shares. The revised target, which represents an upside of 6% from the current price levels, comes after the utility reported better-than-expected results for its Q1 on April 23.
BMO Capital highlighted the utility’s Energy Resources unit, which had a record quarter with 4 GW of new long-term contracted renewables and storage projects added to its backlog, up sequentially from 3.6 GW in the previous quarter. Nextera’s total backlog now stands at around 33 GW.
NextEra Energy, Inc. (NYSE:NEE) reaffirmed its 2026 adjusted EPS target of $3.92 to $4.02 per share, compared to $3.71 per share last year. The utility further expects to grow its adjusted EPS at a CAGR of over 8% through 2032, and then the same from 2032 through 2035, all off the 2025 base. Moreover, the company reiterated its goal to grow its dividend per share at around 10% per year through 2026, off a 2024 base, and 6% per year from year-end 2026 through 2028.
While we acknowledge the potential of NEE as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: Sizzling Returns: 7 Energy Stocks That Just Hit New All-Time Highs and Powering the Future: Why These 7 Energy & Utility Stocks Are on Fire in April
Disclosure: None. Follow Insider Monkey on Google News.