WallStSmart

Nextera Energy Inc (NEE)vsThe Travelers Companies Inc (TRV)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Travelers Companies Inc generates 78% more annual revenue ($48.83B vs $27.41B). NEE leads profitability with a 24.9% profit margin vs 12.9%. TRV appears more attractively valued with a PEG of 2.36. TRV earns a higher WallStSmart Score of 71/100 (B).

NEE

Strong Buy

65

out of 100

Grade: B-

Growth: 7.3Profit: 6.5Value: 7.3Quality: 4.5
Piotroski: 3/9Altman Z: 0.72

TRV

Strong Buy

71

out of 100

Grade: B

Growth: 6.0Profit: 7.5Value: 10.0Quality: 5.0
Piotroski: 4/9Altman Z: 0.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NEEUndervalued (+41.0%)

Margin of Safety

+41.0%

Fair Value

$154.44

Current Price

$91.16

$63.28 discount

UndervaluedFair: $154.44Overvalued
TRVUndervalued (+75.4%)

Margin of Safety

+75.4%

Fair Value

$1213.50

Current Price

$290.59

$922.91 discount

UndervaluedFair: $1213.50Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NEE5 strengths · Avg: 8.4/10
Market CapQuality
$190.89B9/10

Large-cap with strong market position

Profit MarginProfitability
24.9%9/10

Keeps 25 of every $100 in revenue as profit

Operating MarginProfitability
24.4%8/10

Strong operational efficiency at 24.4%

Revenue GrowthGrowth
20.7%8/10

Revenue surging 20.7% year-over-year

EPS GrowthGrowth
26.0%8/10

Earnings expanding 26.0% YoY

TRV6 strengths · Avg: 8.8/10
P/E RatioValuation
10.7x10/10

Attractively priced relative to earnings

Market CapQuality
$65.36B9/10

Large-cap with strong market position

Return on EquityProfitability
20.7%9/10

Every $100 of equity generates 21 in profit

Debt/EquityHealth
0.289/10

Conservative balance sheet, low leverage

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.9%8/10

Strong operational efficiency at 25.9%

Areas to Watch

NEE4 concerns · Avg: 3.0/10
P/E RatioValuation
27.8x4/10

Moderate valuation

Debt/EquityHealth
1.753/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.742/10

Expensive relative to growth rate

TRV4 concerns · Avg: 3.0/10
PEG RatioValuation
2.364/10

Expensive relative to growth rate

Revenue GrowthGrowth
3.5%4/10

3.5% revenue growth

Free Cash FlowQuality
$02/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.652/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : NEE

The strongest argument for NEE centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 24.9% and operating margin at 24.4%. Revenue growth of 20.7% demonstrates continued momentum.

Bull Case : TRV

The strongest argument for TRV centers on P/E Ratio, Market Cap, Return on Equity.

Bear Case : NEE

The primary concerns for NEE are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.75 is elevated, increasing financial risk.

Bear Case : TRV

The primary concerns for TRV are PEG Ratio, Revenue Growth, Free Cash Flow.

Key Dynamics to Monitor

NEE profiles as a growth stock while TRV is a value play — different risk/reward profiles.

NEE carries more volatility with a beta of 0.75 — expect wider price swings.

NEE is growing revenue faster at 20.7% — sustainability is the question.

Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TRV scores higher overall (71/100 vs 65/100). NEE offers better value entry with a 41.0% margin of safety. Both earn "Strong Buy" and "Strong 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.

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.

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The Travelers Companies Inc

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

The Travelers Companies, Inc., commonly known as Travelers, is an American insurance company.

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