Entergy (NYSE:ETR) Sets New 12-Month High - Time to Buy?

Key Points

• Entergy Corporation shares reached a new 12-month high, trading at $91.90, marking a significant increase from its previous close of $89.67.
• Equities research analysts have varied opinions on Entergy, with target price adjustments ranging from $87.00 by Barclays to $102.00 by JPMorgan, reflecting a consensus rating of "Moderate Buy."
• The company reported an EPS of $1.05 for its last quarter, exceeding expectations, but noted a revenue of $3.02 billion, slightly below analysts' forecasts of $3.11 billion.

Shares of Entergy Corporation (NYSE:ETR - Get Free Report) reached a new 52-week high during trading on Tuesday . The company traded as high as $91.90 and last traded at $91.65, with a volume of 3509584 shares trading hands. The stock had previously closed at $89.67.

Analysts Set New Price Targets

Several brokerages have recently weighed in on ETR. KeyCorp restated an "overweight" rating and set a $96.00 target price (up from $88.00) on shares of Entergy in a report on Thursday, July 31st. Morgan Stanley lowered their price objective on Entergy from $82.00 to $81.00 and set an "equal weight" rating on the stock in a research note on Wednesday, June 18th. Mizuho set a $97.00 target price on Entergy and gave the company an "outperform" rating in a report on Thursday, July 31st. Barclays reduced their price target on Entergy from $91.00 to $87.00 and set an "overweight" rating on the stock in a report on Thursday, July 10th. Finally, Raymond James Financial assumed coverage on shares of Entergy in a report on Friday, June 13th. They issued a "market perform" rating for the company. Six investment analysts have rated the stock with a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $88.07.

Entergy Price Performance

The company has a debt-to-equity ratio of 1.73, a quick ratio of 0.52 and a current ratio of 0.80. The stock's 50-day moving average is $84.22 and its two-hundred day moving average is $83.44. The stock has a market cap of $40.39 billion, a PE ratio of 22.53, a PEG ratio of 2.46 and a beta of 0.57.

Entergy (NYSE:ETR - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The utilities provider reported $1.05 EPS for the quarter, topping the consensus estimate of $0.91 by $0.14. The business had revenue of $3.02 billion during the quarter, compared to analyst estimates of $3.11 billion. Entergy had a return on equity of 11.52% and a net margin of 14.35%. During the same period last year, the business posted $1.92 earnings per share. On average, equities analysts predict that Entergy Corporation will post 3.88 earnings per share for the current year.

Entergy Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 2nd. Stockholders of record on Wednesday, August 13th will be given a dividend of $0.60 per share. This represents a $2.40 annualized dividend and a dividend yield of 2.7%. The ex-dividend date of this dividend is Wednesday, August 13th. Entergy's dividend payout ratio is currently 59.85%.

Insider Activity at Entergy

In related news, insider Haley Fisackerly sold 4,463 shares of Entergy stock in a transaction that occurred on Thursday, July 31st. The shares were sold at an average price of $90.50, for a total value of $403,901.50. Following the completion of the transaction, the insider owned 3,318 shares in the company, valued at approximately $300,279. The trade was a 57.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.39% of the company's stock.

Hedge Funds Weigh In On Entergy

Several institutional investors have recently modified their holdings of ETR. Bank of America Corp DE boosted its holdings in Entergy by 142.8% in the fourth quarter. Bank of America Corp DE now owns 17,594,747 shares of the utilities provider's stock valued at $1,334,034,000 after purchasing an additional 10,347,926 shares during the period. Ameriprise Financial Inc. raised its position in Entergy by 71.4% in the 4th quarter. Ameriprise Financial Inc. now owns 12,884,421 shares of the utilities provider's stock valued at $976,895,000 after purchasing an additional 5,368,396 shares in the last quarter. Capital International Investors boosted its stake in shares of Entergy by 103.6% in the 4th quarter. Capital International Investors now owns 7,773,654 shares of the utilities provider's stock valued at $589,389,000 after buying an additional 3,956,122 shares during the period. Boston Partners grew its position in shares of Entergy by 114.6% during the second quarter. Boston Partners now owns 6,931,903 shares of the utilities provider's stock worth $577,806,000 after buying an additional 3,702,089 shares in the last quarter. Finally, Millennium Management LLC grew its position in shares of Entergy by 474.0% during the fourth quarter. Millennium Management LLC now owns 3,876,985 shares of the utilities provider's stock worth $293,953,000 after buying an additional 3,201,530 shares in the last quarter. Institutional investors and hedge funds own 88.07% of the company's stock.

Entergy Company Profile

Entergy Corporation, together with its subsidiaries, engages in the production and retail distribution of electricity in the United States. It generates, transmits, distributes, and sells electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, including the City of New Orleans; and distributes natural gas.