NextEra Energy (LIM:NEE) 5-Year Sharpe Ratio: 0.10 (As of Jun. 24, 2026)


LIM:NEE NextEra Energy Inc LIM:NEE
55 GF Score
Price $85.32
GF Value $80.71
Valuation Fairly Valued
! 7 Warning Signs
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What is NextEra Energy 5-Year Sharpe Ratio?

NextEra Energy LIM:NEE 55 5-Year Sharpe Ratio is 0.10 as of Jun. 24, 2026. GuruFocus rates LIM:NEE with a GF Score™ of 55/100 and a GF Value™ of $80.71 (Fairly Valued). The stock has 7 warning signs investors should review.

The 5-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past five years. As of today (2026-06-24), NextEra Energy's 5-Year Sharpe Ratio is 0.10.

NextEra Energy  (LIM:NEE) 5-Year Sharpe Ratio Explanation

The 5-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past five years. It is calculated as the annualized result of the average five-year monthly excess returns divided by its standard deviation in the five-year period. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.

NextEra Energy 5-Year Sharpe Ratio Related Terms

LIM:NEE vs SO, DUK, AEP: 5-Year Sharpe Ratio Comparison

For the Utilities - Regulated Electric subindustry, NextEra Energy's 5-Year Sharpe Ratio, along with its competitors' market caps and 5-Year Sharpe Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

NextEra Energy 5-Year Sharpe Ratio vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, NextEra Energy's 5-Year Sharpe Ratio distribution charts can be found below:

* The bar in red indicates where NextEra Energy's 5-Year Sharpe Ratio falls into.


LIM:NEE
55GF Score
NextEra Energy Inc LIM:NEE
5-Year Sharpe Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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NextEra Energy 5-Year Sharpe Ratio Calculation

The 5-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset in the last five years. A stock / portfolio's 5-Year Sharpe Ratio can be calculated by dividing the difference between the five-year average monthly returns of the investment and the risk-free rate, by the standard deviation of the investment returns over the past five years.

Frequently Asked Questions Learn more about 5-Year Sharpe Ratio →
What does a 5-Year Sharpe Ratio of 0.10 mean?
NextEra Energy (LIM:NEE) has a 5-Year Sharpe Ratio of 0.10 as of Jun. 24, 2026. 5-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past five years. View historical data for NextEra Energy and its competitors.
Is NextEra Energy's 5-Year Sharpe Ratio too high?
NextEra Energy's current 5-Year Sharpe Ratio is 0.10. Overall, NextEra Energy has a GF Score™ of 55/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does NextEra Energy's 5-Year Sharpe Ratio compare to SO and DUK?
NextEra Energy's 5-Year Sharpe Ratio of 0.10 can be compared against companies in the Utilities - Regulated industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Sharpe Ratio for an Utilities - Regulated company?
A good 5-Year Sharpe Ratio depends on the Utilities - Regulated industry context. However, 5-Year Sharpe Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Sharpe Ratio mean?
A high 5-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 5-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past five years. View historical data for NextEra Energy and its competitors. NextEra Energy's current 5-Year Sharpe Ratio is 0.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NextEra Energy stock overvalued right now?
Based on GuruFocus' analysis, NextEra Energy (LIM:NEE) is currently considered Fairly Valued. The stock's GF Value™ is $80.71, compared to a current price of $85.32 — trading 5.7% above its estimated fair value. The current 5-Year Sharpe Ratio is 0.10. NextEra Energy's overall GF Score™ is 55/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Sharpe Ratio calculated?
5-Year Sharpe Ratio is calculated from a company's financial statements. For NextEra Energy (LIM:NEE), the current 5-Year Sharpe Ratio is 0.10 as of Jun. 24, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is NextEra Energy (LIM:NEE) Overvalued in 2026?

Based on GuruFocus' analysis, NextEra Energy stock appears to be overvalued. The current stock price of $85.32 is trading 5.7% above its estimated GF Value™ of $80.71. GuruFocus considers NextEra Energy to be Fairly Valued.

Key valuation signals for LIM:NEE:

  • 5-Year Sharpe Ratio: 0.10
  • GF Value™: $80.71 vs. price of $85.32 (5.7% above fair value)
  • GF Score™: 55/100 with 7 warning signs

No single metric tells the full story. See the LIM:NEE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

NextEra Energy Business Description

Address 700 Universe Boulevard, Juno Beach, FL, USA, 33408
NextEra Energy's regulated utility, Florida Power & Light, is the largest rate-regulated utility in Florida. The utility distributes power to over 6 million customer accounts in Florida and owns 36 gigawatts of generation. FP&L contributes roughly 70% of NextEra's consolidated operating earnings. NextEra Energy Resources, the renewable energy segment, generates and sells power throughout the United States and Canada with nearly 40 GW of generation capacity, including natural gas, nuclear, wind, and solar.
55GF Score

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5-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$85.32
Price
$80.71
GF Value