Entergy (ETR) AI Stock Analysis

• Market Cap: $43.11B
• Dividend Yield: 2.58%
• Average Volume (3M): 2.71M
• Price to Earnings (P/E): 23.8
• Beta (1Y): 0.21
• Revenue Growth: 6.71%
• EPS Growth: -0.12%
• Country: US
• Employees: 12,000
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Electric
• EPS (TTM): 1.53
• Shares Outstanding: 446,596,900
• 10 Day Avg. Volume: 2,578,930
• 30 Day Avg. Volume: 2,712,062
• PEG Ratio: -0.55
• Price to Book (P/B): 2.14
• Price to Sales (P/S): 2.73
• P/FCF Ratio: -21.89
• Enterprise Value/Market Cap: 1.66
• Enterprise Value/Revenue: 5.62
• Enterprise Value/Gross Profit: 12.75
• Enterprise Value/Ebitda: 12.00
• 1Y Price Target: $104.67
• Price Target Upside: 10.86% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 13
• EPS Forecast (FY): 3.91
• Revenue Forecast (FY): $12.82B

• Rating: 70 Neutral
• Price Target: $105.00 ▲(11.21% Upside)

Entergy's strong earnings call and technical indicators are the most significant factors, indicating positive momentum and strategic growth. However, financial risks from high leverage and valuation concerns slightly offset these strengths.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a stable demand for Entergy's services, supporting long-term business sustainability and market position.

Renewable Energy Expansion

Expanding renewable energy projects align with industry trends towards sustainability, enhancing Entergy's competitive edge and regulatory compliance.

Customer Growth

Strong customer growth, especially in industrial sectors, boosts revenue potential and solidifies Entergy's market position in key regions.

Negative Factors

High Leverage

Significant leverage can increase financial risk, limiting flexibility and potentially impacting long-term financial health and investment capacity.

Negative Free Cash Flow Growth

Declining free cash flow growth suggests potential liquidity issues, which could hinder Entergy's ability to fund operations and future investments.

Higher Operating Costs

Rising operating costs can pressure margins and reduce profitability, challenging Entergy's ability to maintain cost efficiency and competitive pricing.

Entergy Business Overview & Revenue Model

Company Description

Entergy Corporation (ETR) is an integrated energy company based in the United States, primarily engaged in the generation, transmission, and distribution of electric power. The company operates through its subsidiaries and serves customers in Arkansas, Louisiana, Mississippi, and Texas. Entergy's core services include operating nuclear power plants, natural gas, and coal generation facilities, as well as renewable energy sources. With a focus on providing reliable energy while ensuring environmental sustainability, Entergy also engages in energy efficiency programs and offers various energy-related services.

How the Company Makes Money

Entergy generates revenue primarily through the sale of electricity to residential, commercial, and industrial customers. The company's revenue model is largely based on regulated utility operations, where it earns a return on investment through the rates set by state utility commissions. Key revenue streams include residential and commercial electricity sales, capacity payments from wholesale markets, and ancillary services. Additionally, Entergy benefits from partnerships with renewable energy providers and government incentives related to clean energy initiatives. The company's diversified generation portfolio, including nuclear, natural gas, and renewable sources, further supports its earnings through stable and reliable energy production.

Entergy Financial Statement Overview

Summary

Entergy shows strong profitability and revenue growth with improved net profit margins. However, high leverage and negative free cash flow growth pose potential risks, necessitating improvements in cash flow management for long-term stability.

Income Statement

Entergy's income statement shows a solid performance with a TTM gross profit margin of 44.05% and a net profit margin of 14.28%, indicating strong profitability. The revenue growth rate of 3.44% in the TTM period suggests a positive trend compared to the previous year. However, the gross profit margin has slightly decreased from the previous year, and the net profit margin has improved significantly, reflecting better cost management and operational efficiency.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.80 in the TTM period, indicating significant leverage, which could pose financial risks. The return on equity (ROE) of 11.47% suggests moderate efficiency in generating returns from equity. The equity ratio of 24.16% indicates a stable capital structure but highlights the reliance on debt financing.

Cash Flow

Cash flow analysis shows challenges, with a negative free cash flow growth rate of -10.07% in the TTM period, indicating potential liquidity issues. The operating cash flow to net income ratio of 0.09 suggests limited cash generation relative to net income, while the free cash flow to net income ratio of -3.30 highlights cash flow constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.73B	11.88B	12.15B	13.76B	11.74B	10.11B
Gross Profit	5.61B	5.74B	5.33B	5.28B	4.87B	4.46B
EBITDA	5.96B	5.04B	4.92B	4.24B	4.39B	4.33B
Net Income	1.82B	1.06B	2.36B	1.10B	1.12B	1.41B
Balance Sheet
Total Assets	69.85B	64.79B	59.70B	58.60B	59.45B	58.24B
Cash, Cash Equivalents and Short-Term Investments	1.52B	859.70M	132.55M	224.16M	442.56M	1.76B
Total Debt	30.34B	28.92B	26.25B	26.76B	27.08B	24.00B
Total Liabilities	52.87B	49.61B	44.96B	45.53B	47.78B	47.28B
Stockholders Equity	16.88B	15.12B	14.66B	13.00B	11.64B	10.93B
Cash Flow
Free Cash Flow	-2.32B	-1.48B	-417.30M	-2.70B	-4.12B	-2.47B
Operating Cash Flow	5.31B	4.49B	4.29B	2.59B	2.30B	2.69B
Investing Cash Flow	-7.06B	-5.85B	-4.63B	-5.71B	-6.18B	-4.77B
Financing Cash Flow	1.85B	2.09B	243.03M	2.91B	2.56B	3.42B

Entergy Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 94.42
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ETR, the sentiment is Neutral. The current price of 94.42 is below the 20-day moving average (MA) of 95.58, above the 50-day MA of 93.14, and above the 200-day MA of 85.57, indicating a neutral trend. The MACD of 0.57 indicates Positive momentum. The RSI at 47.08 is Neutral, neither overbought nor oversold. The STOCH value of 22.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ETR.

Entergy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EXC	72 Outperform	$46.40B	16.44	10.31%	3.52%	6.07%	15.20%
WEC	70 Outperform	$36.47B	21.19	13.19%	3.19%	11.88%	29.76%
XEL	70 Neutral	$47.75B	24.62	9.45%	2.82%	3.32%	-2.30%
ETR	70 Neutral	$43.11B	23.82	11.33%	2.58%	6.71%	-0.12%
PEG	68 Neutral	$41.69B	20.07	12.58%	3.02%	18.29%	2.40%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
ED	65 Neutral	$36.16B	17.50	8.84%	3.35%	10.35%	7.64%

Entergy Corporate Events

Entergy Appoints Admiral Caldwell to Board of Directors

On October 31, 2025, Entergy Corporation’s Board of Directors elected retired Admiral James F. Caldwell, Jr. to the Board, effective November 1, 2025, until the 2026 Annual Meeting of Shareholders. Admiral Caldwell, who qualifies as an independent director, will serve on the Nuclear and Operations Oversight and Talent and Compensation Committees. His extensive naval career, including roles such as Director of the Naval Nuclear Propulsion Program, adds significant expertise to the Board. The Board’s expansion to 12 members and Admiral Caldwell’s appointment are expected to enhance Entergy’s governance and operational oversight, particularly in nuclear operations, benefiting stakeholders.

The most recent analyst rating on (ETR) stock is a Hold with a $105.00 price target. To see the full list of analyst forecasts on Entergy stock, see the ETR Stock Forecast page.

Entergy Corp. Earnings Call Highlights Growth and Challenges

Entergy Corp.’s latest earnings call highlighted a robust financial performance and strategic growth initiatives, underscoring a positive sentiment overall. The company showcased its strong financial results, customer engagement improvements, and significant strides in renewable energy projects, although it faces challenges related to operating costs and labor availability. Despite these hurdles, the positive aspects of the call were predominant.

Entergy Corp. Reports Q3 2025 Earnings and Strategic Progress

Entergy Corporation, a Fortune 500 company based in New Orleans, operates in the utility sector, providing electricity to approximately 3 million customers across Arkansas, Louisiana, Mississippi, and Texas. The company is known for its investments in cleaner energy generation and its commitment to sustainability and corporate citizenship.

Entergy Reports Q3 2025 Financial Results and Guidance

On October 29, 2025, Entergy Corporation reported its financial results for the third quarter of 2025, with earnings per share of $1.53 on both an as-reported and adjusted basis. The company narrowed its 2025 adjusted EPS guidance range to $3.85 to $3.95 and highlighted several business developments, including approvals for power stations and transmission projects in Texas and Arkansas, as well as a grant for resiliency projects. Entergy’s earnings were driven by regulatory actions, higher retail sales, and increased other income, though offset by higher operational costs and expenses.

The most recent analyst rating on (ETR) stock is a Buy with a $105.00 price target. To see the full list of analyst forecasts on Entergy stock, see the ETR Stock Forecast page.

Entergy Establishes New 2025 Availability Agreement

On October 1, 2025, System Energy Resources, Inc. and its affiliate operating companies terminated their existing Availability Agreement and related assignments, which had provided financial assurances for the company’s operations. This termination affects the security of certain bonds previously backed by the agreement. Concurrently, the company established a new 2025 Availability Agreement to ensure adequate cash resources for operational expenses and potential shutdown costs, with specific allocation percentages for payments from Entergy Arkansas, Entergy Mississippi, and Entergy New Orleans.

The most recent analyst rating on (ETR) stock is a Buy with a $105.00 price target. To see the full list of analyst forecasts on Entergy stock, see the ETR Stock Forecast page.