WallStSmart

Algonquin Power & Utilities Corp (AQN)vsNextera Energy Inc (NEE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Nextera Energy Inc generates 1000% more annual revenue ($27.87B vs $2.53B). NEE leads profitability with a 29.4% profit margin vs 6.7%. NEE trades at a lower P/E of 21.2x. NEE earns a higher WallStSmart Score of 69/100 (B-).

AQN

Buy

52

out of 100

Grade: C-

Growth: 3.3Profit: 5.0Value: 7.0Quality: 4.0
Piotroski: 5/9Altman Z: 0.34

NEE

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 5.0Quality: 3.0
Piotroski: 3/9Altman Z: 0.72
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AQNUndervalued (+70.3%)

Margin of Safety

+70.3%

Fair Value

$22.27

Current Price

$6.01

$16.26 discount

UndervaluedFair: $22.27Overvalued

Intrinsic value data unavailable for NEE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AQN2 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
22.6%8/10

Strong operational efficiency at 22.6%

NEE4 strengths · Avg: 9.5/10
Operating MarginProfitability
30.2%10/10

Strong operational efficiency at 30.2%

EPS GrowthGrowth
160.0%10/10

Earnings expanding 160.0% YoY

Market CapQuality
$174.48B9/10

Large-cap with strong market position

Profit MarginProfitability
29.4%9/10

Keeps 29 of every $100 in revenue as profit

Areas to Watch

AQN4 concerns · Avg: 2.8/10
Return on EquityProfitability
3.6%3/10

ROE of 3.6% — below average capital efficiency

Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Debt/EquityHealth
1.443/10

Elevated debt levels

EPS GrowthGrowth
-10.7%2/10

Earnings declined 10.7%

NEE4 concerns · Avg: 3.0/10
PEG RatioValuation
1.844/10

Expensive relative to growth rate

Debt/EquityHealth
1.893/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-580.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : AQN

The strongest argument for AQN centers on Price/Book, Operating Margin. Revenue growth of 14.4% demonstrates continued momentum.

Bull Case : NEE

The strongest argument for NEE centers on Operating Margin, EPS Growth, Market Cap. Profitability is solid with margins at 29.4% and operating margin at 30.2%.

Bear Case : AQN

The primary concerns for AQN are Return on Equity, Profit Margin, Debt/Equity.

Bear Case : NEE

The primary concerns for NEE are PEG Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.89 is elevated, increasing financial risk.

Key Dynamics to Monitor

AQN profiles as a value stock while NEE is a mature play — different risk/reward profiles.

AQN carries more volatility with a beta of 0.90 — expect wider price swings.

AQN is growing revenue faster at 14.4% — sustainability is the question.

AQN generates stronger free cash flow (-85M), providing more financial flexibility.

Bottom Line

NEE scores higher overall (69/100 vs 52/100), backed by strong 29.4% margins. AQN offers better value entry with a 70.3% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Algonquin Power & Utilities Corp

UTILITIES · UTILITIES - DIVERSIFIED · USA

Algonquin Power & Utilities Corp. The company is headquartered in Oakville, Canada.

Visit Website →

Nextera Energy Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

NextEra Energy, Inc. is an American energy company with about 46 gigawatts of generating capacity, revenues of over $17 billion in 2017, and about 14,000 employees throughout the US and Canada. Its subsidiaries include Florida Power & Light (FPL), NextEra Energy Resources, NextEra Energy Partners, Gulf Power Company, and NextEra Energy Services.

Visit Website →

Want to dig deeper into these stocks?