American Water Works (AWK)vsNextera Energy Inc (NEE)
AWK
American Water Works
$139.79
-0.93%
UTILITIES · Cap: $26.82B
NEE
Nextera Energy Inc
$81.02
-1.70%
UTILITIES · Cap: $166.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Nextera Energy Inc generates 443% more annual revenue ($28.70B vs $5.28B). NEE leads profitability with a 32.4% profit margin vs 21.3%. NEE appears more attractively valued with a PEG of 1.56. NEE earns a higher WallStSmart Score of 74/100 (B).
AWK
Buy64
out of 100
Grade: C+
NEE
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-22.1%
Fair Value
$101.28
Current Price
$139.79
$38.51 premium
Intrinsic value data unavailable for NEE.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 40.7%
Keeps 21 of every $100 in revenue as profit
Reasonable price relative to book value
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 31.5%
Earnings expanding 53.1% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Weak financial health signals
Negative free cash flow — burning cash
Expensive relative to growth rate
Elevated debt levels
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : AWK
The strongest argument for AWK centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 21.3% and operating margin at 40.7%.
Bull Case : NEE
The strongest argument for NEE centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 32.4% and operating margin at 31.5%. Revenue growth of 12.4% demonstrates continued momentum.
Bear Case : AWK
The primary concerns for AWK are PEG Ratio, Debt/Equity, Piotroski F-Score.
Bear Case : NEE
The primary concerns for NEE are PEG Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.85 is elevated, increasing financial risk.
Key Dynamics to Monitor
NEE carries more volatility with a beta of 0.64 — expect wider price swings.
NEE is growing revenue faster at 12.4% — sustainability is the question.
AWK generates stronger free cash flow (-258M), providing more financial flexibility.
Monitor UTILITIES - REGULATED WATER industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NEE scores higher overall (74/100 vs 64/100), backed by strong 32.4% margins and 12.4% revenue growth. 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.
American Water Works
UTILITIES · UTILITIES - REGULATED WATER · USA
American Water is an American public utility company operating in the United States and Canada.
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 →Compare with Other UTILITIES - REGULATED WATER Stocks
Want to dig deeper into these stocks?