Market Pulse44Neutral

NextEra Energy, Inc.Opportunity Rank #100(NEE) Intrinsic Value & DCF Analysis (2026)

Sector: Utilities

Current Price

$86.08

Last updated: Jun 23, 2026

Price vs Intrinsic Value

$86.08
Price
$155.76
Intrinsic Value
Undervalued by 81%MOS: $124.61

Fundamental Score

54/100
Neutral

Weighted across 6 signals

Narrative Score

69/100
Improving

No change vs previous

Trend Score

35/100
Weak

As of 2026-06-22

The intrinsic value of NextEra Energy, Inc. (NEE) is estimated at $155.76 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $86.08, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 4.85% long-term growth rate and an 8.50% discount rate (calculated: 6.47%), reflecting expected future free cash flow and cost of capital.

The intrinsic value of NextEra Energy, Inc. (NEE) is estimated at $155.76 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $86.08, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 4.85% long-term growth rate and an 8.50% discount rate (calculated: 6.47%), reflecting expected future free cash flow and cost of capital.

Valuation Details

$155.76
80.95% upside
20% margin of safety: $124.61
Years: 10Growth Rate: 4.85%
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Capital Efficiency

Average Quarterly ROIC
1.93%
Cost of Capital (estimated)11%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.

Fundamental Details

54/100
NeutralWeighted across 6 signals
DCF Discount
80.9% discount to price
100
FCF Yield
12.4% trailing FCF yield
100
ROIC vs WACC
ROIC 1.9% vs WACC 11.0% (0.2x)
9
Net Debt / FCF
4.6x net debt to FCF
0
Buybacks
Share count flat
50
FCF CAGR (5Y)
7.2% 5Y FCF CAGR
61
Strengths: DCF Discount, FCF Yield. Concerns: ROIC vs WACC, Net Debt / FCF.

Narrative Details

69/100
Improving
Vs 6-Month Baseline:Below Avg (27th pct)Weighted across 5 recent drivers
Trend: StableConfidence: 93%Updated: 1h ago
Sources: 150 (141 News · 9 Analyst)
Drivers(last 30 days)
122 news sentiment+1.7
4 legal risk+0.0
14 regulatory scrutiny+0.0
Upgrade headlines+0.0
9 analyst reiterations0.0

Trend Details

35/100
WeakAs of 2026-06-22308 daily bars used
3M Relative Strength vs SPY-18.6%
Distance from 52-Week High-12.1%
21 EMA vs 50 EMA-2.2%
Price vs 21 EMA44 · -0.9%
Price vs 50 EMA35 · -3.1%
21 EMA vs 50 EMA32 · -2.2%
3M RS vs SPY4 · -18.6%
6M RS vs SPY40 · -3.7%
Distance from 52W High76 · -12.1%

Investment Coach

Updating... 11d ago
BUYConfidence: 55%
Thesis
NextEra Energy, Inc. is significantly undervalued with an estimated fair value 88.8% above its current price, supported by a healthy free cash flow yield of 12.6%. Despite trailing returns relative to its cost of capital, the company's strong DCF discount and positive free cash flow growth suggest potential for long-term appreciation.
Key Risk
The company's return on invested capital is substantially below its weighted average cost of capital, indicating potential value destruction if this trend persists.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 4.85%5 Year CAGR: 7.71%

Free Cash Flow (in millions)

TTM20252024202320222021202020192018201720162015201420132012201120102009200820072006
$22,297$21,759$21,774$20,849$18,004$15,383$15,742$19,232$12,603$11,858$10,576$9,988$9,003$8,326$8,862$8,101$6,781$7,439$5,677$5,450$4,324

How Intrinziq Estimates Fair Value

Intrinziq estimates NextEra Energy, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

NextEra Energy, Inc.Utilities

NextEra Energy, Inc., operating through its diverse subsidiaries, is a prominent electric power provider in North America. The company's operations encompass the generation, transmission, distribution, and sale of electricity to both individual consumers and large-scale wholesale clients. Its energy portfolio is broad, featuring power generation from wind, solar, nuclear, coal, and natural gas facilities. Beyond direct power supply, NextEra Energy is actively involved in developing, constructing, and managing long-term contracted clean energy infrastructure, including renewable energy generation sites, battery storage solutions, and electric transmission networks. The firm also participates in the sale of energy commodities and oversees the development, construction, and operation of generation assets within competitive wholesale energy markets. As of December 31, 2021, NextEra Energy boasted a net generating capacity of approximately 28,564 megawatts. Its extensive infrastructure included about 77,000 circuit miles of transmission and distribution lines and 696 substations. Within Florida, the company delivers electricity to roughly 11 million individuals, serving approximately 5.7 million customer accounts across the state's eastern and lower western coastal regions. Founded in 1925, the company adopted its current name, NextEra Energy, Inc., in 2010, having previously operated as FPL Group, Inc. Its corporate headquarters are located in Juno Beach, Florida.