Head to Head Analysis: Nextera Energy Partners (NEP) and Its Rivals

Nextera Energy Partners (NYSE:NEP) is one of 107 publicly-traded companies in the “Electric services” industry, but how does it compare to its peers? We will compare Nextera Energy Partners to similar companies based on the strength of its dividends, institutional ownership, profitability, earnings, risk, valuation and analyst recommendations.

Analyst Ratings

This is a summary of recent recommendations and price targets for Nextera Energy Partners and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nextera Energy Partners	2	0	0	0	1.00
Nextera Energy Partners Competitors	1131	4874	4704	96	2.35

Nextera Energy Partners presently has a consensus target price of $10.00, suggesting a potential upside of 0.00%. As a group, “Electric services” companies have a potential upside of 4.96%. Given Nextera Energy Partners’ peers stronger consensus rating and higher possible upside, analysts clearly believe Nextera Energy Partners has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares Nextera Energy Partners and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Nextera Energy Partners	$1.23 billion	-$10.00 million	N/A
Nextera Energy Partners Competitors	$39.82 billion	$571.10 million	6.03

Nextera Energy Partners’ peers have higher revenue and earnings than Nextera Energy Partners. Nextera Energy Partners is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

66.0% of Nextera Energy Partners shares are owned by institutional investors. Comparatively, 59.0% of shares of all “Electric services” companies are owned by institutional investors. 0.1% of Nextera Energy Partners shares are owned by company insiders. Comparatively, 7.2% of shares of all “Electric services” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Dividends

Nextera Energy Partners pays an annual dividend of $3.67 per share. Nextera Energy Partners pays out -3,670.0% of its earnings in the form of a dividend. As a group, “Electric services” companies pay a dividend yield of 3.3% and pay out 73.5% of their earnings in the form of a dividend.

Profitability

This table compares Nextera Energy Partners and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nextera Energy Partners	-0.73%	1.34%	0.85%
Nextera Energy Partners Competitors	3.48%	7.40%	1.46%

Risk & Volatility

Nextera Energy Partners has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500. Comparatively, Nextera Energy Partners’ peers have a beta of -0.88, indicating that their average share price is 188% less volatile than the S&P 500.

Summary

Nextera Energy Partners peers beat Nextera Energy Partners on 12 of the 15 factors compared.

Nextera Energy Partners Company Profile

NextEra Energy Partners LP engages in the acquisition, management, and ownership of contracted clean energy projects with long-term cash flows. It owns interests in wind and solar projects in North America and natural gas infrastructure assets in Texas. The company was founded on March 6, 2014 and is headquartered in Juno Beach, FL.