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ETR

EntergyNYSE:ETR Stock Report

Market Cap

US$20.3b

7D

-9.2%

1Y

4.0%

Updated

25 Sep, 2021

Data

Company Financials +
ETR fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance1/6
Financial Health1/6
Dividends6/6

ETR Overview

Entergy Corporation, together with its subsidiaries, engages in the production and distribution of electricity in the United States.

Entergy Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Entergy
Historical stock prices
Current Share PriceUS$100.85
52 Week HighUS$85.78
52 Week LowUS$115.02
Beta0.56
1 Month Change-11.29%
3 Month Change-0.72%
1 Year Change3.99%
3 Year Change24.31%
5 Year Change31.44%
Change since IPO326.88%

Recent News & Updates

Aug 13
Calculating The Intrinsic Value Of Entergy Corporation (NYSE:ETR)

Calculating The Intrinsic Value Of Entergy Corporation (NYSE:ETR)

Today we will run through one way of estimating the intrinsic value of Entergy Corporation ( NYSE:ETR ) by projecting...

Jul 29
Entergy's (NYSE:ETR) Returns Have Hit A Wall

Entergy's (NYSE:ETR) Returns Have Hit A Wall

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? Ideally, a business...

Jul 11

Entergy: Renewables Offer Potential But Don't Get Too Excited

Entergy is one of the dominant and most well-known electric utilities in the Deep South of the United States. The company is one of the most aggressive developers of renewable energy and it intends to rapidly increase its dominance over the next decade. Renewables are likely to see growth but do not get too excited about the company's growth off of electrification. The company appears able to continue to maintain its dividend at the current level and will likely increase its dividend as the growth story plays out. The company appears to be reasonably valued compared to some of its peers.

Shareholder Returns

ETRUS Electric UtilitiesUS Market
7D-9.2%-1.3%0.1%
1Y4.0%13.3%35.3%

Return vs Industry: ETR underperformed the US Electric Utilities industry which returned 13.3% over the past year.

Return vs Market: ETR underperformed the US Market which returned 35.3% over the past year.

Price Volatility

Is ETR's price volatile compared to industry and market?
ETR volatility
ETR Beta0.56
Industry Beta0.43
Market Beta1

Stable Share Price: ETR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ETR's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
194913,400Leo Denaulthttps://www.entergy.com

Entergy Corporation, together with its subsidiaries, engages in the production and distribution of electricity in the United States. The company generates electricity through gas/oil, nuclear, coal, hydro, and solar power sources. It operates in two segments, Utility and Entergy Wholesale Commodities.

Entergy Fundamentals Summary

How do Entergy's earnings and revenue compare to its market cap?
ETR fundamental statistics
Market CapUS$20.27b
Earnings (TTM)US$1.24b
Revenue (TTM)US$10.94b

16.4x

P/E Ratio

1.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ETR income statement (TTM)
RevenueUS$10.94b
Cost of RevenueUS$6.22b
Gross ProfitUS$4.72b
ExpensesUS$3.48b
EarningsUS$1.24b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)6.16
Gross Margin43.16%
Net Profit Margin11.31%
Debt/Equity Ratio227.6%

How did ETR perform over the long term?

See historical performance and comparison

Dividends

3.8%

Current Dividend Yield

61%

Payout Ratio

Valuation

Is Entergy undervalued compared to its fair value and its price relative to the market?

9.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ETR ($100.85) is trading below our estimate of fair value ($111.09)

Significantly Below Fair Value: ETR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: ETR is good value based on its PE Ratio (16.4x) compared to the US Electric Utilities industry average (21.5x).

PE vs Market: ETR is good value based on its PE Ratio (16.4x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: ETR is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: ETR's PB Ratio (1.9x) is in line with the US Electric Utilities industry average.


Future Growth

How is Entergy forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

7.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ETR's forecast earnings growth (7.3% per year) is above the savings rate (2%).

Earnings vs Market: ETR's earnings (7.3% per year) are forecast to grow slower than the US market (14.8% per year).

High Growth Earnings: ETR's earnings are forecast to grow, but not significantly.

Revenue vs Market: ETR's revenue (2.5% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: ETR's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ETR's Return on Equity is forecast to be low in 3 years time (10.8%).


Past Performance

How has Entergy performed over the past 5 years?

42.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ETR has a large one-off loss of $431.1M impacting its June 30 2021 financial results.

Growing Profit Margin: ETR's current net profit margins (11.3%) are lower than last year (11.8%).


Past Earnings Growth Analysis

Earnings Trend: ETR's earnings have grown significantly by 42.1% per year over the past 5 years.

Accelerating Growth: ETR's earnings growth over the past year (0.7%) is below its 5-year average (42.1% per year).

Earnings vs Industry: ETR earnings growth over the past year (0.7%) underperformed the Electric Utilities industry 1.6%.


Return on Equity

High ROE: ETR's Return on Equity (11.1%) is considered low.


Financial Health

How is Entergy's financial position?


Financial Position Analysis

Short Term Liabilities: ETR's short term assets ($3.8B) do not cover its short term liabilities ($3.8B).

Long Term Liabilities: ETR's short term assets ($3.8B) do not cover its long term liabilities ($41.0B).


Debt to Equity History and Analysis

Debt Level: ETR's debt to equity ratio (227.6%) is considered high.

Reducing Debt: ETR's debt to equity ratio has increased from 146.9% to 227.6% over the past 5 years.

Debt Coverage: ETR's debt is not well covered by operating cash flow (7.8%).

Interest Coverage: ETR's interest payments on its debt are well covered by EBIT (6x coverage).


Balance Sheet


Dividend

What is Entergy current dividend yield, its reliability and sustainability?

3.77%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ETR's dividend (3.77%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: ETR's dividend (3.77%) is in the top 25% of dividend payers in the US market (3.6%)


Stability and Growth of Payments

Stable Dividend: ETR's dividends per share have been stable in the past 10 years.

Growing Dividend: ETR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (61.2%), ETR's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ETR's dividends in 3 years are forecast to be covered by earnings (64.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.4yrs

Average management tenure


CEO

Leo Denault (61 yo)

8.58yrs

Tenure

US$16,198,597

Compensation

Mr. Leo P. Denault has been Chairman and Chief Executive Officer of Entergy Corporation and Entergy Services, LLC since February 1, 2013. Mr. Denault serves as an Executive Officer of Entergy New Orleans I...


CEO Compensation Analysis

Compensation vs Market: Leo's total compensation ($USD16.20M) is above average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: Leo's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: ETR's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: ETR's board of directors are considered experienced (7.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ETR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Entergy Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Entergy Corporation
  • Ticker: ETR
  • Exchange: NYSE
  • Founded: 1949
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: US$20.266b
  • Shares outstanding: 200.95m
  • Website: https://www.entergy.com

Number of Employees


Location

  • Entergy Corporation
  • 639 Loyola Avenue
  • New Orleans
  • Louisiana
  • 70113
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:08
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.