WallStSmart

Edison International (EIX)vsNextera Energy Inc (NEE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Nextera Energy Inc generates 48% more annual revenue ($28.70B vs $19.42B). NEE leads profitability with a 32.4% profit margin vs 19.3%. NEE appears more attractively valued with a PEG of 1.82. NEE earns a higher WallStSmart Score of 71/100 (B).

EIX

Strong Buy

71

out of 100

Grade: B

Growth: 5.3Profit: 8.0Value: 5.3Quality: 3.0
Piotroski: 4/9Altman Z: 0.68

NEE

Strong Buy

71

out of 100

Grade: B

Growth: 7.3Profit: 8.0Value: 5.0Quality: 3.0
Piotroski: 3/9Altman Z: 0.72
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EIXOvervalued (-12.8%)

Margin of Safety

-12.8%

Fair Value

$59.45

Current Price

$56.00

$3.45 premium

UndervaluedFair: $59.45Overvalued

Intrinsic value data unavailable for NEE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EIX5 strengths · Avg: 9.4/10
P/E RatioValuation
6.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
55.1%10/10

Earnings expanding 55.1% YoY

Return on EquityProfitability
21.9%9/10

Every $100 of equity generates 22 in profit

Operating MarginProfitability
26.9%8/10

Strong operational efficiency at 26.9%

NEE4 strengths · Avg: 9.8/10
Profit MarginProfitability
32.4%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
31.5%10/10

Strong operational efficiency at 31.5%

EPS GrowthGrowth
53.1%10/10

Earnings expanding 53.1% YoY

Market CapQuality
$170.69B9/10

Large-cap with strong market position

Areas to Watch

EIX4 concerns · Avg: 2.0/10
PEG RatioValuation
2.522/10

Expensive relative to growth rate

Revenue GrowthGrowth
-4.1%2/10

Revenue declined 4.1%

Free Cash FlowQuality
$-576.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.682/10

Distress zone — elevated risk

NEE4 concerns · Avg: 3.0/10
PEG RatioValuation
1.824/10

Expensive relative to growth rate

Debt/EquityHealth
1.933/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-11.42B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : EIX

The strongest argument for EIX centers on P/E Ratio, Price/Book, EPS Growth. Profitability is solid with margins at 19.3% and operating margin at 26.9%.

Bull Case : NEE

The strongest argument for NEE centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 32.4% and operating margin at 31.5%. Revenue growth of 12.4% demonstrates continued momentum.

Bear Case : EIX

The primary concerns for EIX are PEG Ratio, Revenue Growth, Free Cash Flow. Debt-to-equity of 2.48 is elevated, increasing financial risk.

Bear Case : NEE

The primary concerns for NEE are PEG Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.93 is elevated, increasing financial risk.

Key Dynamics to Monitor

EIX profiles as a declining stock while NEE is a mature play — different risk/reward profiles.

NEE carries more volatility with a beta of 0.65 — expect wider price swings.

NEE is growing revenue faster at 12.4% — sustainability is the question.

EIX generates stronger free cash flow (-576M), providing more financial flexibility.

Bottom Line

EIX scores higher overall (71/100 vs 71/100), backed by strong 19.3% margins. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Edison International

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Edison International is a public utility holding company based in Rosemead, California. Its subsidiaries include Southern California Edison, and unregulated non-utility business assets Edison Energy.

Visit Website →

Nextera Energy Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

NextEra Energy, Inc. is an American energy company with about 46 gigawatts of generating capacity, revenues of over $17 billion in 2017, and about 14,000 employees throughout the US and Canada. Its subsidiaries include Florida Power & Light (FPL), NextEra Energy Resources, NextEra Energy Partners, Gulf Power Company, and NextEra Energy Services.

Visit Website →

Want to dig deeper into these stocks?