Why NextEra Energy (NEE) is a Top Growth Stock for the Long-Term

Core Insights - Zacks Premium provides various tools for investors to confidently navigate the stock market and identify investment opportunities [1] Zacks Style Scores - The Zacks Style Scores categorize stocks into four types: Growth Score, Value Score, Momentum Score, and VGM Score [2][3] - Each stock is rated from A to F based on its value, growth, and momentum characteristics, with higher scores indicating a better chance of outperforming the market [4] Value Investing - Value investors seek undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow, with the Value Style Score highlighting the most attractive options [5] Growth Investing - The Growth Style Score focuses on a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow to identify stocks with sustainable growth potential [15][22] Momentum Investing - The Momentum Style Score helps investors capitalize on price trends, utilizing metrics like one-week price changes and monthly earnings estimate changes to identify optimal entry points [16] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to simplify the process of building a successful investment portfolio [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [17] Stock Example: NextEra Energy (NEE) - NextEra Energy (NEE) holds a 3 (Hold) rating on the Zacks Rank and has a VGM Score of B, indicating potential for growth [11] - For fiscal 2024, NEE's earnings estimate has been revised upwards to $3.40 per share, with an average earnings surprise of 8.8% [12] - NEE is positioned as a strong candidate for growth investors, with a projected year-over-year earnings growth of 7.3% for the current fiscal year [22][23] - The company operates in the generation, transmission, distribution, and sale of electric energy, serving nearly 10 million people across 40 states in the U.S. and four provinces in Canada [21]