Entergy (NYSE:ETR) Releases Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Key Points

• Entergy beat quarterly expectations, reporting EPS of $1.03 versus the $1.01 consensus and revenue of $3.52 billion versus estimates of $3.49 billion. EPS declined slightly from $1.05 a year earlier.
• Management reaffirmed its 2026 adjusted EPS guidance of $4.25–$4.45 and cited strong demand growth, including 5.7% weather-adjusted retail-sales growth and nearly 10% industrial-volume growth.
• Data-center demand remains a key growth opportunity, with 7–12 gigawatts of potential hyperscale demand identified. Entergy also highlighted customer protections under its contracting approach, while noting regulatory, cost, leverage, and potential dilution risks.

Entergy (NYSE:ETR - Get Free Report) announced its quarterly earnings results on Wednesday. The utilities provider reported $1.03 EPS for the quarter, beating analysts' consensus estimates of $1.01 by $0.02, Zacks reports. The business had revenue of $3.52 billion for the quarter, compared to analyst estimates of $3.49 billion. Entergy had a net margin of 13.48% and a return on equity of 10.75%. During the same quarter in the prior year, the business earned $1.05 EPS. Entergy updated its FY 2026 guidance to 4.250-4.450 EPS.

Here are the key takeaways from Entergy's conference call:

• Entergy reaffirmed its 2026 adjusted EPS guidance and outlook through 2030 after reporting second-quarter adjusted EPS of $1.03. Results were slightly below the prior year as weather was closer to normal, although retail sales excluding weather grew, led by 10% industrial sales growth.
• Data-center demand remains a major growth driver, with Entergy citing 7–12 gigawatts of hyperscale potential and 3–5 gigawatts of traditional industrial interest. Management said inquiries have increased since Investor Day, though much of the new demand remains at the indication-of-interest stage.
• Entergy said its Fair Share Plus contracting approach protects existing customers by requiring data centers to cover their incremental and fixed costs; signed agreements are expected to generate approximately $7 billion in customer bill benefits, alongside grid and community investments.
• The company continues to pursue grid resilience and reliability investments, including a planned Louisiana Phase 1A accelerated resilience filing and more than $337 million in Entergy Texas resilience projects supported in part by a $200 million state grant. Management said the staging is intended to manage near-term customer affordability rather than reduce the long-term investment need.
• Entergy expects third-quarter other operating and maintenance expense to be approximately $0.05–$0.10 higher year over year, while higher interest expense, taxes, depreciation, and share count pressured second-quarter results. The company also acknowledged ongoing regulatory and community risks, including a data-center moratorium in New Orleans and unresolved customer-risk considerations surrounding the proposed Cottonwood acquisition and potential new nuclear development.

Entergy Price Performance

Shares of ETR stock traded down $2.33 during trading on Wednesday, hitting $109.99. The company had a trading volume of 1,012,342 shares, compared to its average volume of 3,105,296. The firm has a market capitalization of $50.36 billion, a P/E ratio of 28.08, a price-to-earnings-growth ratio of 1.94 and a beta of 0.50. Entergy has a one year low of $86.40 and a one year high of $118.44. The company has a debt-to-equity ratio of 1.80, a quick ratio of 0.73 and a current ratio of 0.96. The stock's 50-day moving average price is $112.54 and its 200 day moving average price is $108.09.

Trending Headlines about Entergy

Here are the key news stories impacting Entergy this week:

• Positive Sentiment: Entergy earned $1.03 per share, exceeding analyst estimates of $1.01 and the Zacks consensus of $0.94. Revenue rose to $3.52 billion, ahead of the $3.49 billion consensus. Entergy Q2 Earnings Beat Estimates, Sales Improve Year Over Year
• Positive Sentiment: Weather-adjusted retail sales increased 5.7%, led by a 9.9% jump in industrial volumes. The results reinforce the investment case around rising power demand from industrial customers and data centers. Entergy Reports Second Quarter Earnings and Affirms 2026 Guidance
• Positive Sentiment: Management affirmed its 2026 adjusted EPS outlook of $4.25 to $4.45, broadly consistent with the $4.40 analyst consensus, reducing the risk of a near-term guidance reset. Entergy also highlighted grid investment and regulatory progress, including an approximately $200 million Texas Energy Fund grant. Entergy Reports Second Quarter 2026 Financial Results
• Neutral Sentiment: Entergy completed a $2.175 billion common-stock offering with a forward component to fund growth and infrastructure. The financing strengthens liquidity but could dilute existing shareholders and increase supply of the stock.
• Negative Sentiment: Quarterly EPS declined from $1.05 a year earlier to $1.03, as higher operating costs and interest expense offset improved sales. Parent and Other posted a $143 million loss, while the company continues to carry substantial leverage.

Insider Buying and Selling

In other Entergy news, insider Haley Fisackerly sold 10,638 shares of Entergy stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $110.00, for a total value of $1,170,180.00. Following the completion of the transaction, the insider directly owned 14,182 shares of the company's stock, valued at $1,560,020. The trade was a 42.86% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.21% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of ETR. Brighton Jones LLC grew its stake in Entergy by 275.6% during the fourth quarter. Brighton Jones LLC now owns 9,176 shares of the utilities provider's stock worth $696,000 after buying an additional 6,733 shares in the last quarter. Woodline Partners LP lifted its holdings in shares of Entergy by 40.7% during the 1st quarter. Woodline Partners LP now owns 36,228 shares of the utilities provider's stock worth $3,097,000 after acquiring an additional 10,476 shares during the period. Marshall Wace LLP acquired a new stake in shares of Entergy during the 2nd quarter worth approximately $6,869,000. Brown Advisory Inc. boosted its position in shares of Entergy by 4.8% during the 2nd quarter. Brown Advisory Inc. now owns 4,254 shares of the utilities provider's stock worth $354,000 after acquiring an additional 193 shares in the last quarter. Finally, Qube Research & Technologies Ltd bought a new position in Entergy in the second quarter valued at approximately $17,225,000. Institutional investors and hedge funds own 88.07% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on ETR shares. Morgan Stanley set a $109.00 target price on Entergy in a research note on Wednesday, July 22nd. Wall Street Zen upgraded Entergy from a "strong sell" rating to a "sell" rating in a research note on Saturday, May 2nd. Evercore set a $123.00 price objective on Entergy in a research report on Wednesday, June 10th. JPMorgan Chase & Co. lifted their target price on Entergy from $129.00 to $139.00 and gave the stock an "overweight" rating in a report on Thursday, July 16th. Finally, Argus boosted their target price on shares of Entergy from $100.00 to $118.00 and gave the company a "buy" rating in a research report on Monday, April 6th. Seventeen analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $121.05.

About Entergy

Entergy Corporation NYSE: ETR is an integrated energy company headquartered in New Orleans, Louisiana, that generates, transmits and distributes electricity. The company's operations combine regulated utility services with competitive power production, supplying retail electricity to residential, commercial and industrial customers while also participating in wholesale energy markets. Entergy's generation fleet includes nuclear, natural gas, hydropower and other resources, and it operates a network of transmission and distribution assets to deliver power to end users.

Entergy conducts its regulated utility business through state-based operating subsidiaries that serve customers across parts of Arkansas, Louisiana, Mississippi and southeast Texas.

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