NextEra Energy Partners Lowers Growth Outlook Due to Higher Interest Rates

NextEra Energy Partners lowers long-term growth outlook to 5%-8% annually through 2026, down from 12%-15% previously
Cites higher interest rates and tighter monetary policy as reasons for reduced outlook
Does not expect to need growth equity to meet revised growth expectations until 2027
Plans to repower majority of wind portfolio in coming years
Revises year-end adjusted EBITDA expectations to $1.9B-$2.1B

seekingalpha.com

Relevant topic timeline:

8/29/2023

NextEra Energy Inc. stock falls Tuesday, underperforms market

Shares of NextEra Energy Inc. declined slightly as the stock market experienced a positive trading session, with the company closing below its 52-week high and underperforming compared to its competitors.

9/27/2023

NextEra Energy Partners Cuts Distribution Growth Outlook Due to Higher Rates, Transitions to Renewables

NextEra Energy Partners (NEP) has reduced its growth outlook and adjusted its distribution growth rates in response to tighter monetary policy and higher interest rates, focusing instead on higher-yield opportunities such as repowering wind assets and acquiring renewable projects.

9/27/2023

NextEra Energy Slashes Distribution Growth Outlook in Half, Blames Tighter Fed Policy

NextEra Energy subsidiary, NextEra Energy Partners, has cut its distribution growth outlook in half due to Federal Reserve monetary policy tightening and higher interest rates, resulting in a significant drop in stock performance.

9/28/2023

Analysts Downgrade NextEra Energy, Raytheon Technologies; Cut Targets for Terex, South State

NextEra Energy Partners received two downgrades after revising its growth expectations, leading to a drop of over 20% in share value, with JPMorgan downgrading to Neutral and Oppenheimer downgrading to Perform.

9/28/2023

NextEra Energy Trims Growth View for NextEra Energy Partners, But Reaffirms Broader Outlook

NextEra Energy has maintained its fair value estimate of $82 per share, despite the company's lower long-term growth rate assumptions for NextEra Energy Partners, which is viewed as achievable and not vital to NextEra's ability to finance its capital investment plan.

9/29/2023

NextEra Energy Stock Rises as Earnings Growth Expected to Continue

NextEra Energy closed slightly higher in the latest trading session, outperforming the S&P 500, and is expected to release positive earnings with year-over-year growth in both earnings and revenue.

10/3/2023

Analysts See Value in Beaten-Down NextEra Energy Stock Despite Recent Sell-Off

NextEra Energy stock has experienced a recent decline, but it is still a good long-term investment due to its value and potential for dividend growth, despite recent downgrades and concerns from analysts.

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Posted 9/27/2023, 12:24:03 PM

NextEra Energy Partners Lowers Growth Outlook Due to Higher Interest Rates

NextEra Energy Partners lowers long-term growth outlook to 5%-8% annually through 2026, down from 12%-15% previously
Cites higher interest rates and tighter monetary policy as reasons for reduced outlook
Does not expect to need growth equity to meet revised growth expectations until 2027
Plans to repower majority of wind portfolio in coming years
Revises year-end adjusted EBITDA expectations to $1.9B-$2.1B

seekingalpha.com

Relevant topic timeline:

8/29/2023

NextEra Energy Inc. stock falls Tuesday, underperforms market

9/27/2023

NextEra Energy Partners Cuts Distribution Growth Outlook Due to Higher Rates, Transitions to Renewables

9/27/2023

NextEra Energy Slashes Distribution Growth Outlook in Half, Blames Tighter Fed Policy

9/28/2023

Analysts Downgrade NextEra Energy, Raytheon Technologies; Cut Targets for Terex, South State

9/28/2023

NextEra Energy Trims Growth View for NextEra Energy Partners, But Reaffirms Broader Outlook

9/29/2023

NextEra Energy Stock Rises as Earnings Growth Expected to Continue

NextEra Energy closed slightly higher in the latest trading session, outperforming the S&P 500, and is expected to release positive earnings with year-over-year growth in both earnings and revenue.

10/3/2023

Analysts See Value in Beaten-Down NextEra Energy Stock Despite Recent Sell-Off