Zimmer Partners LP Grows Stock Position in Entergy Corporation $ETR

Key Points

• Zimmer Partners LP significantly increased its stake in Entergy Corporation by 285.5%, acquiring an additional 839,474 shares, bringing its total ownership to over 1.1 million shares valued at approximately $96.9 million.
• Multiple institutional investors have also increased their holdings in Entergy, with Vanguard Group Inc. boosting its position by 5.2% to 54.8 million shares, and Millennium Management LLC dramatically increasing its stake by 474% in the fourth quarter.
• Entergy has set its FY 2025 earnings guidance at $3.750-3.95 EPS following a quarterly earnings report that beat analysts' estimates, indicating strong financial performance despite a decline in year-over-year revenue.

Zimmer Partners LP lifted its stake in Entergy Corporation (NYSE:ETR - Free Report) by 285.5% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 1,133,474 shares of the utilities provider's stock after purchasing an additional 839,474 shares during the quarter. Entergy accounts for approximately 1.8% of Zimmer Partners LP's holdings, making the stock its 19th biggest position. Zimmer Partners LP owned approximately 0.26% of Entergy worth $96,901,000 at the end of the most recent reporting period.

A number of other hedge funds have also bought and sold shares of ETR. Millennium Management LLC raised its position in Entergy by 474.0% in the 4th 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 during the last quarter. TD Asset Management Inc raised its position in Entergy by 964.8% in the 1st quarter. TD Asset Management Inc now owns 3,055,698 shares of the utilities provider's stock worth $261,232,000 after buying an additional 2,768,734 shares during the last quarter. Vanguard Group Inc. raised its position in Entergy by 5.2% in the 1st quarter. Vanguard Group Inc. now owns 54,828,994 shares of the utilities provider's stock worth $4,687,331,000 after buying an additional 2,695,348 shares during the last quarter. Alkeon Capital Management LLC purchased a new position in Entergy in the 1st quarter worth about $194,429,000. Finally, Royal Bank of Canada raised its position in Entergy by 80.9% in the 4th quarter. Royal Bank of Canada now owns 4,673,139 shares of the utilities provider's stock worth $354,317,000 after buying an additional 2,089,169 shares during the last quarter. Hedge funds and other institutional investors own 88.07% of the company's stock.

Insider Activity

In related news, insider Haley Fisackerly sold 4,463 shares of the business's stock in a transaction that occurred on Thursday, July 31st. The stock was sold at an average price of $90.50, for a total transaction of $403,901.50. Following the completion of the transaction, the insider directly owned 3,318 shares in the company, valued at approximately $300,279. The trade was a 57.36% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 0.47% of the company's stock.

Entergy Stock Performance

Shares of NYSE:ETR traded up $0.46 during mid-day trading on Friday, reaching $90.32. 2,082,846 shares of the company traded hands, compared to its average volume of 2,287,449. The company's 50 day moving average price is $87.76 and its 200-day moving average price is $84.53. The firm has a market cap of $40.32 billion, a PE ratio of 22.50, a PEG ratio of 2.46 and a beta of 0.61. The company has a debt-to-equity ratio of 1.73, a current ratio of 0.80 and a quick ratio of 0.52. Entergy Corporation has a 52 week low of $62.31 and a 52 week high of $92.40.

Entergy (NYSE:ETR - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The utilities provider reported $1.05 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.91 by $0.14. The company had revenue of $3.02 billion during the quarter, compared to the consensus estimate of $3.11 billion. Entergy had a return on equity of 11.52% and a net margin of 14.35%.During the same period in the previous year, the company posted $1.92 EPS. Entergy has set its FY 2025 guidance at 3.750-3.95 EPS. On average, equities analysts expect that Entergy Corporation will post 3.88 EPS for the current fiscal year.

Entergy Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 2nd. Investors of record on Wednesday, August 13th were paid a dividend of $0.60 per share. The ex-dividend date was Wednesday, August 13th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 2.7%. Entergy's payout ratio is 59.85%.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on ETR. Barclays decreased their target price on Entergy from $91.00 to $87.00 and set an "overweight" rating for the company in a research report on Thursday, July 10th. JPMorgan Chase & Co. boosted their price target on Entergy from $102.00 to $103.00 and gave the company an "overweight" rating in a research note on Thursday, August 21st. Mizuho set a $97.00 price target on Entergy and gave the company an "outperform" rating in a research note on Thursday, July 31st. Jefferies Financial Group started coverage on Entergy in a research note on Thursday, September 4th. They set a "buy" rating and a $109.00 price target for the company. Finally, Raymond James Financial started coverage on Entergy in a research note on Friday, June 13th. They set a "market perform" rating for the company. Twelve research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $89.87.

Entergy 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.