Discounted Cash Flow

Nextera Energy Inc.

NEE · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $16.2b $2.9b $2.6b 18.0% $1.56
2017 $17.2b (6.4%) $5.4b (84.7%) $1.2b (-51.6%) 31.3% (73.5%) $2.87 (83.5%)
2018 $16.7b (-2.7%) $6.6b (23.4%) $1.6b (27.6%) 39.7% (26.9%) $3.51 (22.3%)
2019 $19.2b (14.8%) $3.8b (-43.2%) $2.6b (64.1%) 19.6% (-50.5%) $1.96 (-44.3%)
2020 $18.0b (-6.3%) $2.9b (-22.6%) $1.5b (-42.0%) 16.2% (-17.4%) $1.49 (-23.8%)
2021 $17.1b (-5.2%) $3.6b (22.4%) $142.0m (-90.6%) 20.9% (29.1%) $1.82 (22.1%)
2022 $21.0b (22.8%) $4.1b (16.1%) $-1.5b (-1142.3%) 19.8% (-5.5%) $2.10 (15.4%)
2023 $28.1b (34.2%) $7.3b (76.3%) $1.8b (218.4%) 26.0% (31.4%) $3.61 (71.9%)
2024 $24.8b (-12.0%) $6.9b (-5.0%) $4.7b (170.7%) 28.1% (7.9%) $3.38 (-6.4%)
2025 $27.4b (10.7%) $6.8b (-1.6%) $3.2b (-32.3%) 24.9% (-11.1%) $3.31 (-2.1%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model