NextEra Energy, a wind and solar power producer, tops Exxon as most valuable U.S. energy company
It’s a milestone for renewable energy in the U.S.: A solar and wind power provider topped ExxonMobil as America’s most valuable energy company.
NextEra Energy, based in Juno Beach, Florida, eclipsed Exxon this week when its value hit $143.8 billion, edging out the fossil-fuel giant. After the close of trading on Wednesday, NextEra was worth $900 million more that Exxon and about $2 billion more than Chevron, America’s No. 2 oil and gas producer.
NextEra’s enormous growth underlines the shift toward clean energy amid growing planetary destruction as a result of climate change. Exxon, once the world’s most valuable company, has seen its revenues and profits slide over the last decade.
By contrast, NextEra — the largest wind producer in North America and one of the largest solar companies — has enjoyed profit margins of as much as 50%, while its stock has outperformed the broader stock market. (NextEra also produces some natural gas as well as nuclear power.)
The company’s growth has also been unimpeded by the coronavirus pandemic. “This is the best renewables development environment we’ve ever been in,” Rebecca Kujawa, NextEra’s chief financial officer, told investors last month.
Exxon, whose overall value as a company has been shrinking since 2007, has been hit especially hard because of the impact of COVID-19 on travel and oil consumption. Exxon’s market cap shrank in half in 2020 alone. [Continue reading…]