Size is a competitive advantage in the energy industry, where larger assets and balance sheets can provide stability, greater borrowing flexibility, and help spread operating expenses.
Over time, investors have seen industry titans continue to grow, often by acquiring smaller competitors
Two prime examples are NextEra Energy (NYSE: NEE) and Chevron (NYSE: CVX). The former recently announced a blockbuster deal that will transform its outlook, while the latter is looking forward after finalizing a deal last summer that will help it boost cash flow for years to come. Here are the specifics on each, and why both are monster energy stocks worth buying and holding for the next 10 years. 1.
NextEra Energy Even before this deal, NextEra Energy was already one of the world’s largest energy companies. It owns Florida Power & Light Company, a utility serving approximately 12 million people across Florida. It also owns NextEra Energy Resources, an energy infrastructure company that operates power generation and storage assets across natural gas, nuclear, and renewable energy.