On its current path, Hurricane Dorian is a $40B-$50B storm, according to Chuck Watson, a disaster modeler with Enki Research, and if Dorian hits Fort Lauderdale and meanders up through Orlando, then it becomes “realistically a $200B event.”
NextEra Energy (NYSE:NEE) subsidiary Florida Power & Light says it has nearly 16K workers ready to respond to power outages and downed power lines and is reaching out to utilities in other states to secure additional crews and equipment.
FP&L has two nuclear plants on south Florida’s Atlantic Coast, the 1,770 MW Turkey Point plant in Homestead and the 2,213 MW St. Lucie plant in Jensen Beach.
Duke Energy (NYSE:DUK) also has a large presence in Florida, serving 1.8M customers and owning and operating 19 natural gas, solar and coal plants; FP&L serves ~5M customers.
Among other stocks that could be affected by Dorian, climate risk consulting company Four Twenty Seven identifies Norwegian Cruise Line (NYSE:NCLH), Royal Caribbean Cruises (NYSE:RCL) and Carnival (NYSE:CCL) as having high relative exposure to the region.
Freight companies including USA Truck (NASDAQ:USAK), XPO Logistics (NYSE:XPO), Old Dominion Freight (NASDAQ:ODFL) and JB Hunt Transport (NASDAQ:JBHT) may gain on bets they will see rising demand from businesses shipping in materials for rebuilding efforts.
Regional property insurers with exposure to Florida include United Insurance (NASDAQ:UIHC), HCI Group (NYSE:HCI), Heritage Insurance (NYSE:HRTG), Fednat Holding (NASDAQ:FNHC) and Universal Insurance Holdings (NYSE:UVE).