5 Best Environmental Stocks to Buy Now

2. NextEra Energy, Inc. (NYSE:NEE)

Number of Hedge Fund Holders: 73

NextEra Energy, Inc. (NYSE:NEE) is a leader in the renewable energy space, with a portfolio of over 23,900 net megawatts of generating capacity across the U.S. and Canada. This positions the company well to benefit from the continued shift towards clean energy sources and ranks it on our selection of the best environmental stocks to buy now. On October 28, the company posted market-beating earnings for the third quarter of fiscal 2022. NextEra Energy, Inc. (NYSE:NEE) reported an EPS of $0.85 and beat estimates by $0.05. The company generated a revenue of $6.72 billion, up 53.75% year over year and ahead of Wall Street estimates by $946.36 million.

This September, BMO Capital analyst James Thalacker raised his price target on NextEra Energy, Inc. (NYSE:NEE) to $100 from $92 and reiterated an Outperform rating on the shares. On October 24, Guggenheim analyst Shahriar Pourreza updated his price target on NextEra Energy, Inc. (NYSE:NEE) to $99 from $108 and maintained a Buy rating on the shares.

At the close of the third quarter of 2022, 79 hedge funds were long NextEra Energy, Inc. (NYSE:NEE) and held collective stakes of $2.11 billion in the company. Of those, Fisher Asset Management was the top shareholder in the company and disclosed a position worth $741.9 million.

Here is what ClearBridge Investments had to say about NextEra Energy, Inc. (NYSE:NEE) in its third-quarter 2022 investor letter:

“NextEra Energy, Inc. (NYSE:NEE) is an integrated utility business with a regulated utility operating in Florida and the largest wind business in the U.S. NextEra’s regulated business includes Florida Power & Light, which serves nine million people in Florida. NextEra’s share price rose along with the passage of the U.S. Inflation Reduction Act, which considerably expands support for renewable energy.”