15 Best Defensive Stocks Amid Market Volatility

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2. NextEra Energy Inc. (NYSE:NEE)

Beta: 0.59

Number of Hedge Fund Holders: 84

NextEra Energy Inc. (NYSE:NEE) is one of the largest electric power and energy infrastructure companies in North America and a leader in renewable energy generation. The company’s subsidiary, Florida Power & Light (FPL), is the largest utility in the state of Florida and serves regulated electric services. On the other hand, its NextEra Energy Resources (NEER) business is the world’s largest generator of renewable energy from the wind and sun, as well as a world leader in battery storage capacity.

On March 20, Morgan Stanley analyst David Arcaro reaffirmed his Buy rating on NextEra Energy Inc. (NYSE:NEE) with a price target of $95. He highlighted the company’s strong position in the energy sector, backed by its expertise in renewables, gas, and nuclear power, as well as a robust development pipeline. NextEra’s focus on renewable energy was also highlighted as it aligns with the industry’s transition toward sustainable solutions, which are scalable as well as cost-effective.

The analyst further noted that the company leverages advanced technology and data analytics to strengthen its competitive edge. While gas capacity constraints exist, the company’s diverse asset portfolio and expertise in transmission development enable it to meet the growing power needs of large-scale customers, including data centers. In addition, the company’s inclination towards innovation and its strong market presence supported the analyst’s positive outlook.

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