Core Insights - Entergy Corporation (NYSE:ETR) is a significant player in the Utilities sector, providing electricity to millions in the southern United States and competing with other utility giants [1] Financial Performance - RBC Capital set a price target of $115 for Entergy, indicating a potential upside of 18.12% from its current price of $97.36, supported by a strong performance this year with a price change of 27.38% [2][6] - The stock's trading range today was between $95.73 and $97.38, remaining close to its 52-week high of $98.58, with a market capitalization of approximately $43.46 billion [4][6] Dividend Appeal - Entergy's dividend of $0.60 per share is a key attraction for income-focused investors, contributing significantly to total returns and making it appealing for those seeking steady income [3][6] Market Sentiment - The stock's recent price movement, increasing by 0.81% in the last session, indicates positive investor sentiment, while RBC Capital's "Outperform" rating reflects confidence in Entergy's ability to deliver value to shareholders [2][5]

Company Overview - Entergy (ETR) is based in New Orleans and operates in the Utilities sector, with a year-to-date share price change of 27.38% [3] - The company currently pays a dividend of $0.60 per share, resulting in a dividend yield of 2.48%, which is lower than the Utility - Electric Power industry's yield of 3.02% and the S&P 500's yield of 1.49% [3] Dividend Performance - Entergy's current annualized dividend of $2.40 has increased by 4.6% from the previous year [4] - Over the past five years, Entergy has raised its dividend five times, achieving an average annual increase of 5.80% [4] - The company's current payout ratio is 60%, indicating that it distributes 60% of its trailing 12-month earnings per share as dividends [4] Earnings Growth and Investment Appeal - For the fiscal year, Entergy anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 projected at $3.90 per share, reflecting a year-over-year growth rate of 6.85% [5] - Dividends are favored by investors as they enhance stock investing profits, reduce overall portfolio risk, and offer tax advantages [5] - Entergy is recognized as an attractive dividend investment and holds a Zacks Rank of 2 (Buy), indicating a compelling investment opportunity [6]

Industry Overview - The AI-powered data center industry is experiencing significant growth, with global infrastructure capex projected to reach approximately $7 trillion by 2030 [1] - The demand for electricity from data centers is driving interest in nuclear energy as a cleaner energy source to meet rising global electricity needs [2] Nuclear Energy Sector - President Trump's executive orders aim to modernize the nuclear sector, targeting an increase in U.S. nuclear capacity from about 100 gigawatts (GW) in 2024 to 400 GW by 2050 [3] - The demand for electric utilities with access to nuclear power is increasing due to the electricity requirements of data centers [4] Company Highlights Dominion Energy Inc. (D) - Dominion Energy is enhancing its electric and natural gas infrastructure, aiming for carbon neutrality by 2050 and working on Small Modular Reactors (SMR) [7][8] - The company has an expected revenue growth rate of 7.6% and earnings growth rate of 22.7% for the current year [9] Duke Energy Corp. (DUK) - Duke Energy plans to invest $87 billion from 2025 to 2029 to strengthen its grid and expand its renewable energy portfolio [10] - The company serves approximately 8.4 million customers and operates 1,500 MW of solar energy in Florida [11][12] - Expected revenue growth rate is 4.6% and earnings growth rate is 7.3% for the current year [12] Ameren Corp. (AEE) - Ameren is investing up to $26.3 billion from 2025 to 2029 to enhance its operations and aims to add 3,200 MW of renewables by 2030 [13][15] - The company has an expected revenue growth rate of 16.2% and earnings growth rate of 7.3% for the current year [16] Entergy Corp. (ETR) - Entergy plans to invest $40 billion from 2025 to 2028 to upgrade infrastructure and support renewable expansion, targeting an earnings CAGR of over 8% [17] - The company generates 27% of its power from nuclear sources and aims to add 275 MW of nuclear power through upgrades [18][19] - Expected revenue growth rate is 5.4% and earnings growth rate is 6.9% for the current year [20] PG&E Corp. (PCG) - PG&E operates California's only nuclear power plant, Diablo Canyon, and is integrating AI technology to enhance operational efficiency [21][23] - The company has an expected revenue growth rate of 6.7% and earnings growth rate of 10.3% for the current year [24]

Core Insights - The demand for electricity from data centers is expected to drive significant growth in global electricity usage for decades, with data centers consuming an estimated 415 terawatt-hours of electricity in 2024, accounting for about 1.5% of global electricity consumption [4][5]. Utility Stocks - The S&P 500 utilities sector has gained nearly 16% from its low in mid-February, outperforming the S&P 500, indicating a strong performance in the utility sector amidst market fluctuations [7]. - High-yielding utility stocks are identified as potential beneficiaries of the increasing electricity demand from data centers, providing stable and dependable passive income [6][5]. Company Profiles - **Canadian Utilities Ltd. (CDUAF)**: Operates in electricity, natural gas, renewables, and pipelines with assets of $22 billion and a dividend yield of 4.60% [8]. - **Dominion Energy Inc. (NYSE: D)**: An integrated energy utility with a strong dividend yield of 4.34%, well-positioned geographically to serve data centers [10]. - **Duke Energy Corp. (NYSE: DUK)**: Located near major data centers, this company offers a solid dividend yield of 3.28% and operates extensive electric and gas distribution networks [14][16]. - **Entergy Corp. (NYSE: ETR)**: Engaged in electric power production and retail distribution, with a dividend yield of 2.48% and serving approximately 3 million customers [19][20]. - **Exelon Corp. (NYSE: EXC)**: The largest electric parent company in the U.S. by revenue, offering a dependable dividend yield of 3.29% and engaged in energy distribution and transmission [21].

Financial Services Sector - Financial Services sector shows strong buy ratings for Mastercard (MA), Visa (V), Global Payments (GPN), Fidelity National Information Services (FIS), and Truist Financial (TFC) in recent days [1] - Average target price upside across these companies suggests continued positive momentum in the Financial Services sector [1] Utilities Sector - Utilities sector also demonstrates strength with upgrades for Alliant Energy (LNT), PPL Corporation (PPL), and Entergy (ETR) on October 24 and October 22 [1] - The upgrades indicate a favorable outlook for these utility companies [1] Payroll Services and Insurance - Payroll services sector experiences a notable strong sell for Paychex (PAYX), indicating caution in this area [1] - Insurance giant W.R. Berkley (WRB) also received a strong sell rating, further signaling caution in the insurance sector [1]

Core Viewpoint - Entergy (ETR) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [3][5]. - Institutional investors often rely on earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [3]. Business Improvement Indicators - The upgrade in Entergy's rating suggests an improvement in the company's underlying business, which could lead to an increase in stock price as investors respond positively [4][9]. - For the fiscal year ending December 2025, Entergy is expected to earn $3.89 per share, with a slight increase of 0.1% in the Zacks Consensus Estimate over the past three months [7]. Zacks Rank System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [6][8]. - The upgrade of Entergy to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [9].

Key Takeaways ETR's Earnings ESP of -0.23% suggests a lower chance of an earnings beat.Warmer weather, industrial demand and infrastructure projects likely lifted sales.Higher maintenance costs and outages may have limited quarterly profit growth.Entergy Corporation (ETR) is scheduled to release its third-quarter 2025 earnings on Oct. 29, before market open. The company delivered an earnings surprise of 15.38% in the last reported quarter. Let’s discuss the factors that are likely to be reflected in the upc ...

Core Points - Entergy will report its third quarter 2025 financial results on October 29, 2025, before the market opens [1] - A live webcast discussion of Entergy's financial results will take place at 10 a.m. Central time on the same day [2] - Presentation materials will be available on Entergy's website prior to the market opening on the day of the call [3] Company Overview - Entergy (NYSE: ETR) provides electricity to 3 million customers across Arkansas, Louisiana, Mississippi, and Texas [4] - The company is focused on growth, reliability, and resilience of its energy system while maintaining affordable energy rates [4] - Entergy is investing in cleaner energy generation, including modern natural gas, nuclear, and renewable energy sources [4] - The company contributes over $100 million annually in economic benefits to the communities it serves through philanthropy and advocacy [4] - Entergy is a Fortune 500 company based in New Orleans, Louisiana, employing approximately 12,000 people [4]

Entergy Corporation (NYSE:ETR) is included among the 12 Best Nuclear Power Dividend Stocks to Buy Now. Entergy Corporation (ETR) Price Target Raised by BMO Capital Entergy Corporation (NYSE:ETR) is an integrated energy company that provides electricity to 3 million utility customers in Arkansas, Louisiana, Mississippi, and Texas. The company also owns, operates, and supports a fleet of five reactors in the United States with a generation capacity of approximately 5 GW. With a renewed global spotlight on ...

Core Viewpoint - Entergy Corporation is experiencing mixed expectations regarding its financial performance, with analysts projecting a decline in third-quarter profits but an overall positive outlook for the current fiscal year [2][3]. Company Overview - Entergy Corporation, based in New Orleans, Louisiana, provides electric power to approximately 3 million customers across Arkansas, Louisiana, Mississippi, and Texas through its utility subsidiaries [1]. - The company operates a diverse range of generating facilities, including natural gas, nuclear, coal, hydroelectric, oil, and renewables, with a total capacity of about 24,000 megawatts [1]. - Entergy has a market capitalization of $42.73 billion and maintains extensive transmission and distribution networks [1]. Financial Performance - For the third quarter, analysts expect Entergy's profit to decline by 12% year-over-year (YOY) to $1.32 per diluted share [3]. - However, for the current fiscal year, profit is projected to improve by 6.6% annually to $3.89 per diluted share [3]. - Entergy has a strong track record of exceeding consensus bottom-line estimates, having surpassed them in each of the last four quarters [3]. Stock Performance - Entergy's stock has performed well over the past year, gaining 46.6% over the last 52 weeks and 27.5% year-to-date (YTD) [4]. - In comparison, the S&P 500 Index has increased by 13.4% and 13% over the same periods, indicating clear outperformance by Entergy [4]. - The Utilities Select Sector SPDR Fund (XLU) has risen by 14.3% over the past 52 weeks and 21.2% YTD, further highlighting Entergy's strong performance relative to its sector [4]. Recent Results - On July 30, Entergy reported better-than-expected second-quarter results, with total revenue increasing by 12.7% YOY to $3.33 billion, surpassing the expected $3.22 billion [5]. - Adjusted earnings grew 9.4% from the prior year to $1.05 per share, exceeding the expected $0.91 per share [5]. - Following these robust results, Entergy's stock surged by 1.2% on July 30 and an additional 1.3% the following day [5]. Analyst Sentiment - Wall Street analysts maintain a bullish outlook on Entergy, with a consensus rating of "Moderate Buy" among the 19 analysts covering the stock [6]. - The ratings configuration has become more positive, with 13 "Strong Buy" ratings, an increase from 12, alongside six "Holds" [6].