WallStSmart

Nextera Energy Inc (NEE)vsNational Grid PLC ADR (NGG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Nextera Energy Inc generates 57% more annual revenue ($27.41B vs $17.48B). NEE leads profitability with a 24.9% profit margin vs 16.4%. NGG appears more attractively valued with a PEG of 1.09. NEE earns a higher WallStSmart Score of 65/100 (B-).

NEE

Strong Buy

65

out of 100

Grade: B-

Growth: 7.3Profit: 6.5Value: 7.3Quality: 4.5
Piotroski: 3/9Altman Z: 0.72

NGG

Buy

50

out of 100

Grade: C-

Growth: 2.0Profit: 6.5Value: 7.3Quality: 5.5
Piotroski: 4/9Altman Z: 1.24
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NEEUndervalued (+42.0%)

Margin of Safety

+42.0%

Fair Value

$154.44

Current Price

$89.50

$64.94 discount

UndervaluedFair: $154.44Overvalued
NGGSignificantly Overvalued (-234.1%)

Margin of Safety

-234.1%

Fair Value

$27.13

Current Price

$81.99

$54.86 premium

UndervaluedFair: $27.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NEE5 strengths · Avg: 8.4/10
Market CapQuality
$186.48B9/10

Large-cap with strong market position

Profit MarginProfitability
24.9%9/10

Keeps 25 of every $100 in revenue as profit

Operating MarginProfitability
24.4%8/10

Strong operational efficiency at 24.4%

Revenue GrowthGrowth
20.7%8/10

Revenue surging 20.7% year-over-year

EPS GrowthGrowth
26.0%8/10

Earnings expanding 26.0% YoY

NGG2 strengths · Avg: 8.5/10
Market CapQuality
$85.04B9/10

Large-cap with strong market position

Operating MarginProfitability
24.1%8/10

Strong operational efficiency at 24.1%

Areas to Watch

NEE4 concerns · Avg: 3.0/10
P/E RatioValuation
27.1x4/10

Moderate valuation

Debt/EquityHealth
1.753/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.672/10

Expensive relative to growth rate

NGG4 concerns · Avg: 3.0/10
Price/BookValuation
8.2x4/10

Trading at 8.2x book value

Return on EquityProfitability
7.9%3/10

ROE of 7.9% — below average capital efficiency

Debt/EquityHealth
1.233/10

Elevated debt levels

Revenue GrowthGrowth
-11.3%2/10

Revenue declined 11.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : NEE

The strongest argument for NEE centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 24.9% and operating margin at 24.4%. Revenue growth of 20.7% demonstrates continued momentum.

Bull Case : NGG

The strongest argument for NGG centers on Market Cap, Operating Margin. Profitability is solid with margins at 16.4% and operating margin at 24.1%. PEG of 1.09 suggests the stock is reasonably priced for its growth.

Bear Case : NEE

The primary concerns for NEE are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.75 is elevated, increasing financial risk.

Bear Case : NGG

The primary concerns for NGG are Price/Book, Return on Equity, Debt/Equity.

Key Dynamics to Monitor

NEE profiles as a growth stock while NGG is a declining play — different risk/reward profiles.

NEE carries more volatility with a beta of 0.75 — expect wider price swings.

NEE is growing revenue faster at 20.7% — sustainability is the question.

NEE generates stronger free cash flow (277M), providing more financial flexibility.

Bottom Line

NEE scores higher overall (65/100 vs 50/100), backed by strong 24.9% margins and 20.7% revenue growth. Both earn "Strong Buy" and "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.

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.

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National Grid PLC ADR

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

National Grid plc transmits and distributes electricity and natural gas. The company is headquartered in London, the United Kingdom.

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