NEXTERA ENERGY PARTNERS LP (NEP) Fundamental Analysis & Valuation

NYSE:NEP • US65341B1061

Current stock price

10.54 USD
+0.1 (+0.96%)
At close:
10.47 USD
-0.07 (-0.66%)
After Hours:

This NEP fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

2

1. NEP Profitability Analysis

1.1 Basic Checks

  • NEP had positive earnings in the past year.
  • In the past year NEP had a positive cash flow from operations.
  • In multiple years NEP reported negative net income over the last 5 years.
  • Each year in the past 5 years NEP had a positive operating cash flow.
NEP Yearly Net Income VS EBIT VS OCF VS FCFNEP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M -400M 600M

1.2 Ratios

  • NEP has a Return On Assets of -0.04%. This is in the lower half of the industry: NEP underperforms 60.00% of its industry peers.
  • With a Return On Equity value of -0.28%, NEP is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
  • The Return On Invested Capital of NEP (0.42%) is worse than 65.00% of its industry peers.
Industry RankSector Rank
ROA -0.04%
ROE -0.28%
ROIC 0.42%
ROA(3y)0.97%
ROA(5y)0.64%
ROE(3y)6.55%
ROE(5y)4.38%
ROIC(3y)N/A
ROIC(5y)N/A
NEP Yearly ROA, ROE, ROICNEP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10

1.3 Margins

  • NEP has a Operating Margin of 8.29%. This is in the lower half of the industry: NEP underperforms 60.00% of its industry peers.
  • In the last couple of years the Operating Margin of NEP has declined.
  • NEP does not have Profit Margin and Gross Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM 8.29%
PM (TTM) N/A
GM N/A
OM growth 3Y-30.82%
OM growth 5Y-21.18%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
NEP Yearly Profit, Operating, Gross MarginsNEP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20 30

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. NEP Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NEP is destroying value.
  • The number of shares outstanding for NEP remains at a similar level compared to 1 year ago.
  • The number of shares outstanding for NEP has been increased compared to 5 years ago.
  • NEP has a better debt/assets ratio than last year.
NEP Yearly Shares OutstandingNEP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M
NEP Yearly Total Debt VS Total AssetsNEP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B

2.2 Solvency

  • The Debt to FCF ratio of NEP is 9.51, which is on the high side as it means it would take NEP, 9.51 years of fcf income to pay off all of its debts.
  • NEP has a Debt to FCF ratio of 9.51. This is amongst the best in the industry. NEP outperforms 90.00% of its industry peers.
  • NEP has a Debt/Equity ratio of 1.43. This is a high value indicating a heavy dependency on external financing.
  • NEP has a Debt to Equity ratio of 1.43. This is in the better half of the industry: NEP outperforms 70.00% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.43
Debt/FCF 9.51
Altman-Z N/A
ROIC/WACC0.08
WACC5.02%
NEP Yearly LT Debt VS Equity VS FCFNEP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B 2B 3B 4B 5B

2.3 Liquidity

  • A Current Ratio of 0.79 indicates that NEP may have some problems paying its short term obligations.
  • NEP's Current ratio of 0.79 is on the low side compared to the rest of the industry. NEP is outperformed by 65.00% of its industry peers.
  • NEP has a Quick Ratio of 0.79. This is a bad value and indicates that NEP is not financially healthy enough and could expect problems in meeting its short term obligations.
  • NEP's Quick ratio of 0.69 is on the low side compared to the rest of the industry. NEP is outperformed by 70.00% of its industry peers.
Industry RankSector Rank
Current Ratio 0.79
Quick Ratio 0.69
NEP Yearly Current Assets VS Current LiabilitesNEP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. NEP Growth Analysis

3.1 Past

  • NEP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 165.26%, which is quite impressive.
  • Measured over the past years, NEP shows a very strong growth in Earnings Per Share. The EPS has been growing by 45.88% on average per year.
  • The Revenue has grown by 14.10% in the past year. This is quite good.
  • NEP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.54% yearly.
EPS 1Y (TTM)165.26%
EPS 3Y45.88%
EPS 5YN/A
EPS Q2Q%289.17%
Revenue 1Y (TTM)14.1%
Revenue growth 3Y7.79%
Revenue growth 5Y7.54%
Sales Q2Q%26.72%

3.2 Future

  • NEP is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -38.06% yearly.
  • NEP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.59% yearly.
EPS Next Y-57.38%
EPS Next 2Y-36.56%
EPS Next 3Y-14.63%
EPS Next 5Y-38.06%
Revenue Next Year6.02%
Revenue Next 2Y2.7%
Revenue Next 3Y2.56%
Revenue Next 5Y4.59%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
NEP Yearly Revenue VS EstimatesNEP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 500M 1B 1.5B
NEP Yearly EPS VS EstimatesNEP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 0 2 4

More info and screens

Find the best growth stocksShow best growing peers

7

4. NEP Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 1.87 indicates a rather cheap valuation of NEP.
  • Compared to the rest of the industry, the Price/Earnings ratio of NEP indicates a rather cheap valuation: NEP is cheaper than 100.00% of the companies listed in the same industry.
  • The average S&P500 Price/Earnings ratio is at 27.42. NEP is valued rather cheaply when compared to this.
  • The Price/Forward Earnings ratio is 4.38, which indicates a rather cheap valuation of NEP.
  • Based on the Price/Forward Earnings ratio, NEP is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
  • The average S&P500 Price/Forward Earnings ratio is at 22.24. NEP is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 1.87
Fwd PE 4.38
NEP Price Earnings VS Forward Price EarningsNEP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 50 100 150 200

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, NEP is valued cheaply inside the industry as 95.00% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, NEP is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 1.76
EV/EBITDA 8.2
NEP Per share dataNEP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • A cheap valuation may be justified as NEP's earnings are expected to decrease with -14.63% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-36.56%
EPS Next 3Y-14.63%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. NEP Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 34.11%, NEP is a good candidate for dividend investing.
  • The stock price of NEP dropped by -45.25% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
  • NEP's Dividend Yield is rather good when compared to the industry average which is at 1.24. NEP pays more dividend than 100.00% of the companies in the same industry.
  • NEP's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
Industry RankSector Rank
Dividend Yield 34.11%

5.2 History

  • The dividend of NEP is nicely growing with an annual growth rate of 6.82%!
  • NEP has been paying a dividend for at least 10 years, so it has a reliable track record.
  • NEP has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.82%
Div Incr Years10
Div Non Decr Years10
NEP Yearly Dividends per shareNEP Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 1 2 3

5.3 Sustainability

  • The earnings of NEP are negative and hence is the payout ratio. NEP will probably not be able to sustain this dividend level.
DP-9066.67%
EPS Next 2Y-36.56%
EPS Next 3Y-14.63%
NEP Yearly Income VS Free CF VS DividendNEP Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M -400M 600M 800M

More info and screens

Find the best dividend stocksShow peers with best dividend

NEP Fundamentals: All Metrics, Ratios and Statistics

NEXTERA ENERGY PARTNERS LP

NYSE:NEP (1/31/2025, 8:04:00 PM)

After market: 10.47 -0.07 (-0.66%)

10.54

+0.1 (+0.96%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)01-28
Earnings (Next)N/A
Inst Owners57.62%
Inst Owner Change17.88%
Ins Owners0.24%
Ins Owner Change0%
Market Cap985.81M
Revenue(TTM)1.23B
Net Income(TTM)-9.00M
Analysts54.17
Price Target20.84 (97.72%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 34.11%
Yearly Dividend8.73
Dividend Growth(5Y)6.82%
DP-9066.67%
Div Incr Years10
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)184.75%
Min EPS beat(2)-169.74%
Max EPS beat(2)539.23%
EPS beat(4)3
Avg EPS beat(4)128.67%
Min EPS beat(4)-169.74%
Max EPS beat(4)539.23%
EPS beat(8)5
Avg EPS beat(8)129.5%
EPS beat(12)8
Avg EPS beat(12)167.87%
EPS beat(16)9
Avg EPS beat(16)148.89%
Revenue beat(2)0
Avg Revenue beat(2)-11.41%
Min Revenue beat(2)-13.58%
Max Revenue beat(2)-9.24%
Revenue beat(4)0
Avg Revenue beat(4)-11.65%
Min Revenue beat(4)-23.31%
Max Revenue beat(4)-0.47%
Revenue beat(8)0
Avg Revenue beat(8)-16.17%
Revenue beat(12)0
Avg Revenue beat(12)-15.27%
Revenue beat(16)0
Avg Revenue beat(16)-18.99%
PT rev (1m)-9.78%
PT rev (3m)-25.82%
EPS NQ rev (1m)-48.89%
EPS NQ rev (3m)-83.75%
EPS NY rev (1m)11%
EPS NY rev (3m)12.63%
Revenue NQ rev (1m)-7.02%
Revenue NQ rev (3m)-21.2%
Revenue NY rev (1m)0.51%
Revenue NY rev (3m)1.93%
Valuation
Industry RankSector Rank
PE 1.87
Fwd PE 4.38
P/S 0.8
P/FCF 1.76
P/OCF 1.23
P/B 0.31
P/tB 0.88
EV/EBITDA 8.2
EPS(TTM)5.65
EY53.61%
EPS(NY)2.41
Fwd EY22.84%
FCF(TTM)5.98
FCFY56.7%
OCF(TTM)8.55
OCFY81.15%
SpS13.15
BVpS34.51
TBVpS11.99
PEG (NY)N/A
PEG (5Y)N/A
Graham Number0 (-100%)
Profitability
Industry RankSector Rank
ROA -0.04%
ROE -0.28%
ROCE 0.53%
ROIC 0.42%
ROICexc 0.43%
ROICexgc 0.48%
OM 8.29%
PM (TTM) N/A
GM N/A
FCFM 45.45%
ROA(3y)0.97%
ROA(5y)0.64%
ROE(3y)6.55%
ROE(5y)4.38%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-30.05%
ROICexgc growth 5Y-25.33%
ROICexc growth 3Y-27.3%
ROICexc growth 5Y-22.86%
OM growth 3Y-30.82%
OM growth 5Y-21.18%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.06
Health
Industry RankSector Rank
Debt/Equity 1.43
Debt/FCF 9.51
Debt/EBITDA 6.28
Cap/Depr 38.13%
Cap/Sales 19.59%
Interest Coverage 250
Cash Conversion 108.99%
Profit Quality N/A
Current Ratio 0.79
Quick Ratio 0.69
Altman-Z N/A
F-Score4
WACC5.02%
ROIC/WACC0.08
Cap/Depr(3y)157.92%
Cap/Depr(5y)118.19%
Cap/Sales(3y)82.96%
Cap/Sales(5y)59.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)165.26%
EPS 3Y45.88%
EPS 5YN/A
EPS Q2Q%289.17%
EPS Next Y-57.38%
EPS Next 2Y-36.56%
EPS Next 3Y-14.63%
EPS Next 5Y-38.06%
Revenue 1Y (TTM)14.1%
Revenue growth 3Y7.79%
Revenue growth 5Y7.54%
Sales Q2Q%26.72%
Revenue Next Year6.02%
Revenue Next 2Y2.7%
Revenue Next 3Y2.56%
Revenue Next 5Y4.59%
EBIT growth 1Y464.29%
EBIT growth 3Y-25.43%
EBIT growth 5Y-15.23%
EBIT Next Year1067.64%
EBIT Next 3Y124.01%
EBIT Next 5Y63.7%
FCF growth 1Y203.9%
FCF growth 3Y-0.3%
FCF growth 5Y17.18%
OCF growth 1Y9.44%
OCF growth 3Y5.72%
OCF growth 5Y18.25%

NEXTERA ENERGY PARTNERS LP / NEP Fundamental Analysis FAQ

What is the ChartMill fundamental rating of NEXTERA ENERGY PARTNERS LP (NEP) stock?

ChartMill assigns a fundamental rating of 4 / 10 to NEP.


What is the valuation status of NEXTERA ENERGY PARTNERS LP (NEP) stock?

ChartMill assigns a valuation rating of 7 / 10 to NEXTERA ENERGY PARTNERS LP (NEP). This can be considered as Undervalued.


What is the profitability of NEP stock?

NEXTERA ENERGY PARTNERS LP (NEP) has a profitability rating of 2 / 10.


What are the PE and PB ratios of NEXTERA ENERGY PARTNERS LP (NEP) stock?

The Price/Earnings (PE) ratio for NEXTERA ENERGY PARTNERS LP (NEP) is 1.87 and the Price/Book (PB) ratio is 0.31.


Can you provide the dividend sustainability for NEP stock?

The dividend rating of NEXTERA ENERGY PARTNERS LP (NEP) is 7 / 10 and the dividend payout ratio is -9066.67%.