While quarterly results were up, the stock dropped today. Additionally, NextEra Energy (NEE -6, considering recent developments.
09%) just reported a very strong second quarter, given current economic conditions. Adjusted earnings per jumped more than 9% year over year. However, Yet s in the company are sinking today.
NextEra stock was down by 6. Nevertheless, 3% as of 12:35 p.
Additionally, A solid quarterly earnings report, along with a subsequent plunge in the stock, is a combination that should make investors wonder whether opportunity is knocking.
NextEra may be one of those opportunities, and there's a good explanation for why the stock is retreating today. Furthermore, Image source: Getty Images.
Moreover, Growth, income, and surging demand NextEra is one of the largest electric utility companies in the country. As such, it should be on the radar of any investor in the utility sector.
It's not just a stodgy utility, though, given the current landscape.
Furthermore, NextEra operates Florida Power & Light Company (FPL), one of the largest rate-regulated electric utilities in the U (remarkable data).
This analysis suggests that also runs NextEra Energy Resources.
That's a subsidiary with higher growth spects as a leading generator of renewable energy through various solar and wind jects, considering recent developments.
Moreover, The strong performance was coupled with expectations for continued solid results going forward.
NextEra management sees adjusted earnings per increasing by as much as 8% annually through 2027.
NextEra also plans to continue to increase its dividend payout by 10% per year, at least through next year.
That confidence in its FPL subsidiary comes from what it calls "significant demand from [Florida's] growing population. Conversely, " It's not just Florida that has increasing power needs.
NextEra is seeing growth across all sectors, it says, in today's market environment. It plans for renewables, natural gas-fired generation, and new nu supply in the future to satisfy that demand.
So why is the stock tanking today. On the other hand, Additionally, It's bably just a matter of investors selling the news (an important development), in this volatile climate.
NextEra stock had jumped by more than 16% in just the last three months prior to today's drop.
With power demand on the rise, investors seeking dividend income with a growing underlying might want to take advantage of today's decline for a long-term investment, considering recent developments.
Conversely, The Author Howard Smith is a contributing Stock Market Analyst at The Motley Fool, covering publicly traded companies in the and industrial sectors.
Prior to The Motley Fool, Howard spent nearly 30 years supervising quality and operations in the steel industry, mostly with leading steel company Nucor. He holds a B (something worth watching).
In Metallurgical Engineering from Lafayette College and a Masters in Environmental Engineering from Johns Hopkins University.
Fun fact: Howard enjoys running year-round, from 5k races to marathons and ultramarathons. TMFBuilt2Last Howard Smith has positions in NextEra Energy.
The Motley Fool has positions in and recommends NextEra Energy. The Motley Fool has a disclosure policy.