NextEra Energy: One Of The Best Times In 5 Years To Buy This Dividend Aristocrat

Summary

• NextEra Energy is trading at the lowest PE in five years, triggered by a 25% bear market.
• The company is a world leader in green energy with plans to double its capacity by 2026.
• Even that growth represents less than 1% of its growth potential by 2050.
• While NextEra Energy has excellent management, investors should have realistic expectations about its growth potential and not expect a rapid return to record highs. 7% long-term growth is management's guidance. Management has never been wrong about its growth rate over the last decade.
• NEE is a potentially good buy for anyone who understands they're signing up for 9% to 10% long-term returns, possibly for the next 30 years. The days of zero rates driving 16% returns due to PE expansion are at an end.
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Analyst’s Disclosure:I/we have a beneficial long position in the shares of NEE either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.