Update shared on06 Oct 2025
Fair value Increased 1.06%The analyst fair value price target for Entergy was increased by $1 to $95.08. Analysts cite ongoing industrial sales strength, underappreciated nuclear assets, and robust sector performance as supporting factors for the upward revision.
Analyst Commentary
Recent Street research on Entergy highlights a range of perspectives regarding the company's valuation, growth potential, and sector performance. Analysts have updated their price targets and ratings in light of broader sector trends and company-specific drivers.
Bullish Takeaways
- Analysts continue to view Entergy's differentiated industrial growth trends as a competitive advantage that supports long-term value creation.
- Strong industrial sales, particularly along the Gulf Coast and supported by emerging AI demand, are seen as key drivers of ongoing earnings growth.
- The company's long-term EPS growth rate, which exceeds 8% annually, remains a highlight among peers and bolsters confidence in management execution and future performance.
- Recent share price weakness is being interpreted by bullish analysts as a temporary pullback and an attractive entry point for investors with a long-term outlook.
Bearish Takeaways
- Some bearish analysts have exercised caution by reducing price targets, citing sector-specific valuation concerns and recent volatility in regulated utility stocks.
- There is continued monitoring of exposure reduction and profit-taking among some market participants, which may impact near-term investor sentiment.
- Despite generally positive data points, the Equal Weight ratings and periodic downward price revisions signal reservations about the pace or consistency of future outperformance.
What's in the News
- Entergy approved to build gas plants to supply Meta's new data center, which strengthens ties with large-scale tech clients (Bloomberg).
- The company has completed the repurchase of over 6.3 million shares, which represents 1.76% of outstanding shares, for $463.31 million as part of a long-term buyback program.
Valuation Changes
- Fair Value has increased by $1.00 to $95.08, reflecting a modest upward revision in analyst consensus.
- The Discount Rate remains unchanged at 6.78%.
- Revenue Growth has risen slightly to 7.93% from 7.93%, indicating a negligible positive adjustment.
- The Net Profit Margin has decreased marginally to 15.96% from 15.96%, marking a minimal downward shift.
- Future P/E has increased to 23.58x from 23.33x, signaling a modest reassessment of valuation multiples.
Disclaimer
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