Zacks Investment Ideas feature highlights: NextEra Energy, Google and Constellation Energy

For Immediate ReleaseChicago, IL – January 23, 2026 – Today, Zacks Investment Ideas feature highlights NextEra Energy NEE, Google GOOGL and Constellation Energy CEG.Is NextEra the Best AI Energy Stock to Buy Before Earnings?Wall Street loves the artificial intelligence energy trade that spans nuclear, electrification, solar, and beyond. Tons of AI energy stocks have already soared over the past several years and in the early weeks of 2026.One potential best-in-class AI energy stock, NextEra Energy, trades 10% below its 2021 highs and is on the verge of a potential technical breakout heading into its Q4 earnings release on Tuesday, January 27.NextEra Energy is one of the largest electric power and energy infrastructure companies in the U.S.The stock has also crushed the S&P 500 over the past 25 years, while boasting strong earnings and revenue growth, exceptional value, dividends (2.7% yield), and breakout potential.NextEra is growing its portfolio across solar, battery storage, and nuclear, helping investors buy into one of the biggest Wall Street megatrends: the AI Energy Trade. NEE’s upward earnings revisions also help it earn a Zacks Rank #2 (Buy) right now.Why NextEra Is a Great Buy-and-Hold AI Energy StockNextEra is a Wall Street titan and an energy powerhouse. The $174 billion market cap firm is by far the largest holding in the State Street Utilities Select Sector SPDR ETF (XLU). NEE is also one of roughly 70 S&P 500 Dividend Aristocrats, meaning it’s paid and raised dividends for at least 25 straight years.NEE’s NextEra Energy Resources division is one of the biggest electric power and energy infrastructure companies in the world. Its Florida Power & Light segment is one of the largest electric utilities in the U.S.All in, NEE is one of the largest producers of wind and solar energy on the planet, a battery storage leader, and an under-the-radar nuclear energy standout. Plus, FPL “continues to operate and invest in the nation's largest gas-fired fleet,” which is an area that the AI hyperscalers such as Meta love, alongside nuclear.Given this backdrop, it makes sense that NextEra stock has soared 1,050% in the past 25 years to blow away the S&P 500’s 450%. Despite this run, NEE shares are trading almost exactly where they were five years ago, while the S&P 500 charged over 80% higher.The renewable energy and Florida-based utility powerhouse underperformed over the last five years as Wall Street grew concerned about slowing earnings and dividend growth, as well as the possibility that some of the beneficial government subsidies for renewable energy would disappear.On top of that, higher interest rates made utility stocks less attractive. Thankfully, NextEra said last quarter that its “long-term financial expectations remain unchanged,” and the Fed is set to continue lowering its core interest rate in 2026.Electricity demand is set to grow by ~25% by 2030 and ~75% by 2050, driven by AI data center expansion, electrification across the economy, reshoring, and more.Speaking of, NextEra’s AI energy credentials are growing. NEE in late October announced, “two transformative agreements with Google, which will strengthen U.S. nuclear leadership and help meet growing energy demand from artificial intelligence with clean, reliable nuclear energy.”NextEra’s deal with Google will help NEE restart the Duane Arnold Energy Center, Iowa's only nuclear facility, with the AI hyperscaler then set to purchase power from the nuclear plant. NEE’s AI-heavy nuclear deal are similar to ones that Constellation Energy landed with Meta and Microsoft.NEE then, in December, told Wall Street that it expects to add 15 gigawatts of new power generation for data centers by 2035 (and upwards of 30 GWs) via deals with Google, Meta, Exxon Mobil, and beyond. These recent moves cement its bull case as a sleeping giant in the AI energy trade.Buy NextEra Before Its Soars in 2026?The energy giant is projected to grow its revenue by 12% in 2025 and 16% in 2026, helping boost its adjusted earnings by 8% in both periods.NextEra’s near-term EPS growth outlook is part of a longer-term growth outlook that extends over the next several years (see chart above). NEE’s upward earnings revisions also help it earn a Zacks Rank #2 (Buy), and it’s beaten on the bottom line for five years in a row.NextEra is up 215% in the past 10 years to blow away the Zacks Utilities sector’s 65% climb. Yet, it trades 10% below its 2021 highs after moving sideways over the past five years, while Utilities jumped 33%.The stock is on the verge of overtaking the top of its five-year trading range after finding buyers at its 21-week moving average several times in the past month.A strong report and positive guidance could help it finally break out of its holding pattern and hit new highs.NextEra might be even more compelling to investors because it trades at 40% discount to its highs and at its 15-year median at 20.8X forward 12-month earnings. It also trades at only a 27% premium to Utilities despite climbing 525% in the past 15 years vs. the sector’s 72%.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NextEra Energy, Inc. (NEE): Free Stock Analysis Report Constellation Energy Corporation (CEG): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks