NextEra Energy stock rose 0.5% following several positive developments. On February 18, Erste Group upgraded the company to Buy from Hold, citing NextEra's raised long-term growth outlook projecting 8% compound annual EPS growth through 2032 and 2035. The company's ROE and operating margins exceed peer levels. On February 13, NextEra's board approved a 10% quarterly dividend increase to $0.6232 per share, aligning with its plan for 10% annual dividend growth through 2026, then 6% annually through 2028. Morgan Stanley maintained an Overweight rating on February 20 and raised its price target to $106 from $104. Additionally, Ontario Teachers' announced a US$805 million investment supporting NextEra Energy Partners' acquisition of a two-gigawatt renewable energy portfolio. NextEra is also exploring nuclear expansion to serve data center demand.
Read full analysisNextEra Energy stock rose 0.5% following several positive developments. On February 18, Erste Group upgraded the company to Buy from Hold, citing NextEra's raised long-term growth outlook projecting 8% compound annual EPS growth through 2032 and 2035. The company's ROE and operating margins exceed peer levels. On February 13, NextEra's board approved a 10% quarterly dividend increase to $0.6232 per share, aligning with its plan for 10% annual dividend growth through 2026, then 6% annually through 2028. Morgan Stanley maintained an Overweight rating on February 20 and raised its price target to $106 from $104. Additionally, Ontario Teachers' announced a US$805 million investment supporting NextEra Energy Partners' acquisition of a two-gigawatt renewable energy portfolio. NextEra is also exploring nuclear expansion to serve data center demand.
NextEra Energy is one of the largest electric utilities in the U.S. and the world's biggest generator of wind and solar energy, operating through its regulated utility Florida Power & Light and its competitive clean energy subsidiary NextEra Energy Resources. The company is positioning itself as a key AI data center power beneficiary, with advanced discussions to power an additional 9 gigawatts of data centers and potential nuclear fleet expansion, per Reuters. Its recent 10% dividend hike and Erste Group upgrade to Buy reflect confidence in an 8% compound EPS growth trajectory through 2035.