With a one year PEG ratio of 293.55, NextEra Energy Partners LP is expected to have a higher PEG ratio (a measure of how expensive a stock is relative to its expected earnings growth) than 88.23% of US stocks.
Of note is the ratio of NextEra Energy Partners LP's sales and general administrative expense to its total operating expenses; merely 0.32% of US stocks have a lower such ratio.
The ratio of debt to operating expenses for NextEra Energy Partners LP is higher than it is for about 94.63% of US stocks.
Stocks that are quantitatively similar to NEP, based on their financial statements, market capitalization, and price volatility, are NGD, OXSQ, BPY, MBI, and TGB.
NextEra Energy Partners, LP Common Units representing limited partner interests (NEP) Company Bio
NextEra Energy Partners LP acquires, owns, and operates contracted clean energy projects. It owns interests in wind and solar projects in North America. The company was founded in 2014 and is based in Juno Beach, Florida.
NEP Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for NextEra Energy Partners LP with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that NextEra Energy Partners LP ranked in the 61th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 92%. As for the metrics that stood out in our discounted cash flow analysis of NextEra Energy Partners LP, consider:
Interest coverage, a measure of earnings relative to interest payments, is 0.85 -- which is good for besting only 11.18% of its peer stocks (US stocks in the Utilities sector with positive cash flow).
Its compound free cash flow growth rate, as measured over the past 5.67 years, is 0.4% -- higher than 75.39% of stocks in our DCF forecasting set.
NextEra Energy Partners LP's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of NextEra Energy Partners LP? See KEN, TAC, JE, BIP, and CWEN.
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