NextEra Energy, Inc.

NEE
UtilitiesDividend Aristocrat
$83.65
2.24%Fair Value

NextEra Energy, Inc. (NEE) is a Utilities company that currently yields 2.24% — trading near fair value based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $55.85 and the overvaluation threshold at $90.16. NextEra Energy, Inc. holds a quality score of 60/100 (Good), reflecting 25 consecutive years of dividend growth with a 53% payout ratio. The 5-year dividend CAGR stands at 11.0%.

NEE Dividend Yield History — Weiss Valuation

Underval. $55.85Overval. $90.16

Distance to undervalued

Waiting for a better entry

Needs about 33.2% downside to reach the Weiss buy zone

Undervaluation starts near $55.85, where the annual dividend would imply roughly 3.35% yield. That is 1.11% above today's yield.

Buy-zone price

$55.85

Target yield

3.35%

Research checklist

What to clear before buying the yield

Updated Aug 23, 2026

Dividend durability

25Y

Long dividend history supports a deeper look.

Earnings payout

53%

Earnings coverage leaves room for noise.

Cash payout

N/A

Confirm cash conversion and one-off effects.

Dividend growth

11.0%

Recent growth adds income compounding potential.

What changed

What changed since the last update

2026-08-222026-08-23

No major change in signal, yield, price, quality, or payout since the last update.

Why Now?

NextEra Energy, Inc. is trading at a fair valuation relative to its dividend history.

Current yield 2.2% vs historical max 4.8% (47% of maximum).

12 consecutive years without a dividend cut.

Conservative payout ratio of 53%.

What matters now

Read the signal before the headline yield

Valuation is neutral here: quality has to do more of the work than entry price.

The 60/100 quality score calls for selective follow-up, not autopilot.

Start by checking whether payout coverage and business durability still support the dividend.

NEE Dividend Income Projection — DRIP Compounder

Dividend Compounder (DRIP)

$

Year 1 Income

$248

Year 10 Income

$897

Yield on Cost

9.54%

Total Income

$5,012

Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.

Track actual vs. projected

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Dividend income log · Yield on cost · DRIP cost basis · Tax reports

More research

Full price history & technical analysis

TradingView ↗

Fundamentals, valuation & analyst ratings

FinViz ↗

Moat rating & analyst fair value

Morningstar ↗

Track dividends received & tax reports

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NEE Dividend Quality Score

Quality Score

60/ 100

Good

Payout Ratio20/25
Dividend Streak20/25
Growth (CAGR 5Y)20/20
Yield vs History0/15
FCF Coverage0/15

Key Metrics

Current Price$83.65
Annual Dividend$1.87
Current Yield2.24%
Yield — Max (10Y)4.78%
Yield — Min (10Y)2.14%
Undervalued Below$55.85
Overvalued Above$90.16
Payout Ratio53.47%
CAGR Dividend 5Y11.0%
CAGR Dividend 10Y11.0%
Years No Cut12y

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25
consecutive years of dividend growth