AQN vs NEE: Which Is the Better Buy in 2026?

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: AQN is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. AQN and NEE share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined AQN and NEE exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

Algonquin Power & Utilities Corp. is a Canadian-domiciled utility whose regulated Liberty Utilities arm provides electricity, natural gas, water, and wastewater service to more than 1.2 million customer connections across the United States, Canada, Bermuda, and Chile. For years Algonquin ran two businesses side by side: regulated utilities and a large non-regulated renewable-energy generation fleet. That model, plus heavy debt and rising interest costs, pushed the company into a painful reset. Management cut the common dividend sharply (a roughly 40% reduction to US$0.065 per quarter), agreed to sell most of its renewable-energy business to New York-based LS Power for up to US$2.5 billion (while keeping certain hydro assets), and refocused around a Back to Basics strategy aimed at becoming a premier pure-play regulated utility.

Full AQN guide

NextEra Energy runs two very different businesses under one holding company. Florida Power & Light is a regulated electric utility serving roughly twelve million people across Florida; it earns an authorized return on the capital it invests in poles, wires, generation, and storage, so its profit grows as it grows its rate base, which expanded about ~8.8% year over year in early 2026. NextEra Energy Resources (NEER) is the competitive arm and the world's largest generator of electricity from wind and solar; it develops, builds, and operates clean-energy and battery-storage projects, selling power and capacity largely under long-term contracts to utilities, corporations, and data-center customers. The regulated utility provides steady, rate-regulated cash flow while the resources segment supplies higher-growth, contracted renewables and storage development.

Full NEE guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• AQN drivers: Transition to a pure-play regulated utility; Rate-base growth and constructive regulation.
• NEE drivers: Record renewables and storage backlog; Data-center and AI power demand.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: The main risk is execution: turnarounds often take longer and cost more than planned, and Algonquin has disappointed investors before, so the market may stay skeptical. For NEE, nextEra is highly capital-intensive and carries substantial debt to fund construction, which makes it sensitive to interest rates: higher rates raise its borrowing costs and tend to compress the valuations investors assign to utility and renewable-growth stocks.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick AQN if you believe its drivers more; NEE if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the AQN and NEE guides.

AQN. These are qualitative descriptors tied to the asOf date, not live quotes. Algonquin has been through a major reset, so historical multiples and dividend figures can be misleading. Always verify the current share price, dividend, debt levels, and rate-base guidance from Algonquin's latest filings before acting. As a turnaround-stage regulated utility, the stock's value hinges on execution and rate outcomes more than on any single reported number.

NEE. As of late June 2026, NEE traded near the high-$80s per share with a market cap around ~$184B to ~$186B. The forward P/E of roughly ~23x sits below its own five-year average closer to ~27x but at a premium to several utility peers, a gap the market ties to its ~33 GW backlog and growth profile. Figures are approximate, drawn from the Q1 2026 release and public market data, and move with the share price.

Headline figures (approximate, Jul 2026): AQN shows business model Regulated utility (electric, gas, water, wastewater) via Liberty Utilities; over 1.2 million customer connections across North America, Bermuda, and Chile, revenue trend Q1 2026 total revenue rose year over year (roughly $792M vs ~$692M) on regulated growth, though profit was lower during the transition; confirm current figures, dividend Cut sharply in the reset (about 40%, to US$0.065 per quarter); now positioned as more sustainable rather than a growth-of-income story. Verify the latest declared payout, strategic shift Sold most renewable-energy business to LS Power (up to US$2.5B, excluding debt), kept certain hydro; now a pure-play regulated utility under a Back to Basics plan; NEE shows revenue (ttm) ~$27.9B, adjusted eps guidance (fy2026) ~$3.92 to ~$4.02, dividend yield ~2.7%, adjusted eps growth target ~8%-plus per year through 2032.

AQN and NEE are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined AQN and NEE exposure against your real portfolio. It is not an investment adviser.