NEP Forecast + Trading Strategies



Bearish<—>Bullish



80% Confidence




Bullish Case: NEP's leadership in renewables positions it for potential growth with high call trading volume, suggesting bullish sentiment; upcoming clean-energy projects could drive this further.




Bearish Case: Flat term structure and declining historical returns suggest persistent challenges. High implied volatilities highlight market uncertainty and potential downside risks.




Potential Outcomes:

1. (40%) Recovery via renewables led to stock appreciation.

2. (30%) Resilience amidst volatile market conditions.

3. (30%) Short-term declines continue due to headwinds.




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January 24, 2025


NextEra Energy Forecast

NEP        NextEra Energy











Correlated Assets

Assets that tend to move strongly with NEP



TAN Forecast + Options Trading Strategies   TAN  Invesco Solar (0.88)


RILY Forecast + Options Trading Strategies   RILY  B. Riley Financial (0.88)


XRX Forecast + Options Trading Strategies   XRX  Xerox (0.86)


LEA Forecast + Options Trading Strategies   LEA  Lear (0.85)


CNI Forecast + Options Trading Strategies   CNI  Canadian National Railway (0.85)



Uncorrelated Assets

Assets with little price relationship to NEP



ASAN Forecast + Options Trading Strategies   ASAN  Asana (-0.01)


UVXY Forecast + Options Trading Strategies   UVXY  ProShares Ultra VIX Short-Term Futures (-0.01)


OLED Forecast + Options Trading Strategies   OLED  Universal Display (-0.01)


BLBD Forecast + Options Trading Strategies   BLBD  Blue Bird (0.02)


INTU Forecast + Options Trading Strategies   INTU  Intuit (-0.02)



Anticorrelated Assets

Assets that tend to move strongly against NEP



FLR Forecast + Options Trading Strategies   FLR  Fluor (-0.82)


CYBR Forecast + Options Trading Strategies   CYBR  CyberArk Software (-0.83)


NOW Forecast + Options Trading Strategies   NOW  ServiceNow (-0.83)


TVTX Forecast + Options Trading Strategies   TVTX  Travere Therapeutics (-0.84)


CBRE Forecast + Options Trading Strategies   CBRE  CBRE (-0.85)









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