← Back to selected work
02 / Equity research
NextEra Energy
A full initiation report on the regulated utility and renewable platform, pairing peer-derived WACC, a five-scenario DCF, EV/EBITDA cross-checks, and an AI-energy demand thesis.
Decision signalNEE / MODEL 02
$9712-month target · base DCF $95.58 · BUY
Model chart / five scenariosbase 6.8% CAGR
baseupside / managementdownside
$9712-month target
5.75%base WACC
BUYrating
01 / The question
How much of the renewable-growth story is already priced in?
The research frames NextEra as a regulated utility with a valuable renewable-development platform. The DCF makes the growth debate explicit by forcing the thesis through five operating scenarios, from near-stagnation to management’s more aggressive case.
Scenario work is most useful when it changes the decision. Here, the range shows how revenue growth and WACC interact before a target price is treated as a point estimate.
02 / What the model does
Separates operating conviction from valuation confidence.
Peer-derived WACC, FCFF, terminal value, EV/EBITDA, and implied share-price sensitivity are kept together so the report can show both the upside case and the assumptions that would break it.