Renewable Utilities · NYSE
Current Price
$10.54
Intrinsic Value
Use the calculator below to estimate
Run a PE ratio stock valuation on NextEra Energy Partners, LP with auto-filled earnings data, adjustable target PE, and instant fair value estimate.
NextEra Energy Partners, LP acquires, owns, and manages contracted clean energy projects in the United States. It owns a portfolio of contracted renewable generation assets consisting of wind and solar projects, as well as contracted natural gas pipeline assets. NextEra Energy Partners, LP was incorporated in 2014 and is headquartered in Juno Beach, Florida.
Earnings Yield
-2.81%
ROE (TTM)
-0.9%
Based on trailing twelve-month data, NEP has earnings per share of N/A and trades at a PE ratio of N/A. These are key inputs for stock valuation using the PE ratio method.
The trailing twelve-month PE ratio of NEP reflects how much investors pay per dollar of NextEra Energy Partners, LP's earnings. This metric is most useful when compared to Renewable Utilities peers and the company's own historical range.
Whether NEP is overvalued depends on comparing its PE ratio to Renewable Utilities peers, historical averages, and growth expectations. A PE above the sector average may indicate overvaluation, but high-growth companies often command premium multiples. Consider pairing PE analysis with a DCF model for a more complete picture.
To value NextEra Energy Partners, LP using PE: (1) Compare the current PE against the Renewable Utilities median to assess relative pricing, (2) check the PEG ratio to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
The PEG ratio divides the PE ratio by the expected earnings growth rate, providing a growth-adjusted valuation metric. A PEG below 1.0 may indicate undervaluation relative to growth, while above 2.0 may suggest overvaluation. PEG is most reliable for companies with stable, predictable earnings growth.
PE ratio gives a quick relative read — how NEP is priced versus Renewable Utilities peers. DCF provides an absolute value based on projected free cash flows. For the most reliable valuation, use PE as a quick comparability screen and DCF for a deeper fundamental analysis. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
