Entergy (NYSE:ETR) Hits New 12-Month High – Still a Buy?

Entergy Corporation (NYSE:ETR)’s share price hit a new 52-week high during mid-day trading on Wednesday . The company traded as high as $157.04 and last traded at $156.76, with a volume of 44344 shares traded. The stock had previously closed at $155.93.

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. JPMorgan Chase & Co. boosted their price target on shares of Entergy from $131.00 to $141.00 and gave the company an “overweight” rating in a research report on Monday, August 12th. Morgan Stanley raised shares of Entergy from an “underweight” rating to an “equal weight” rating and increased their price objective for the stock from $116.00 to $150.00 in a report on Monday, November 4th. Mizuho boosted their target price on shares of Entergy from $138.00 to $165.00 and gave the stock an “outperform” rating in a research note on Monday, November 4th. Royal Bank of Canada increased their price target on shares of Entergy from $137.00 to $140.00 and gave the company an “outperform” rating in a research note on Monday, October 14th. Finally, Guggenheim boosted their price objective on shares of Entergy from $145.00 to $165.00 and gave the stock a “buy” rating in a research report on Friday, November 1st. Five research analysts have rated the stock with a hold rating, nine have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $150.42.

Entergy Stock Performance

The company has a debt-to-equity ratio of 1.77, a current ratio of 0.89 and a quick ratio of 0.59. The stock’s 50-day moving average price is $138.76 and its 200-day moving average price is $122.25. The company has a market cap of $33.70 billion, a P/E ratio of 18.99, a PEG ratio of 2.55 and a beta of 0.71.

Entergy’s stock is scheduled to split on Friday, December 13th. The 2-1 split was announced on Thursday, October 31st. The newly issued shares will be payable to shareholders after the closing bell on Thursday, December 12th.

Entergy (NYSE:ETR) last announced its quarterly earnings data on Thursday, October 31st. The utilities provider reported $2.99 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.91 by $0.08. Entergy had a net margin of 14.83% and a return on equity of 9.53%. The business had revenue of $3.39 billion for the quarter, compared to analysts’ expectations of $3.46 billion. During the same period last year, the firm posted $3.27 earnings per share. Equities analysts anticipate that Entergy Corporation will post 7.22 EPS for the current year.

Entergy Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, December 2nd. Stockholders of record on Wednesday, November 13th will be paid a dividend of $1.20 per share. This represents a $4.80 dividend on an annualized basis and a dividend yield of 3.05%. This is a positive change from Entergy’s previous quarterly dividend of $1.13. The ex-dividend date of this dividend is Wednesday, November 13th. Entergy’s dividend payout ratio (DPR) is presently 58.47%.

Insider Transactions at Entergy

In other news, CEO Andrew S. Marsh sold 19,200 shares of the firm’s stock in a transaction dated Friday, August 30th. The stock was sold at an average price of $120.35, for a total value of $2,310,720.00. Following the completion of the sale, the chief executive officer now directly owns 150,731 shares in the company, valued at $18,140,475.85. This trade represents a 11.30 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, COO Peter S. Norgeot, Jr. sold 3,250 shares of the company’s stock in a transaction that occurred on Monday, September 9th. The stock was sold at an average price of $122.56, for a total value of $398,320.00. Following the transaction, the chief operating officer now directly owns 34,993 shares in the company, valued at approximately $4,288,742.08. This trade represents a 8.50 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 39,872 shares of company stock worth $5,004,310 over the last ninety days. 0.54% of the stock is owned by insiders.

Institutional Trading of Entergy

Institutional investors and hedge funds have recently modified their holdings of the stock. Iron Horse Wealth Management LLC purchased a new stake in shares of Entergy during the 2nd quarter worth approximately $25,000. Legacy Investment Solutions LLC purchased a new stake in Entergy in the third quarter worth $27,000. Cetera Trust Company N.A bought a new stake in shares of Entergy in the third quarter valued at $29,000. Fortitude Family Office LLC raised its stake in Entergy by 423.8% in the 3rd quarter. Fortitude Family Office LLC now owns 220 shares of the utilities provider’s stock valued at $29,000 after acquiring an additional 178 shares during the period. Finally, American National Bank boosted its position in Entergy by 93.7% during the second quarter. American National Bank now owns 277 shares of the utilities provider’s stock worth $30,000 after purchasing an additional 134 shares during the period. 88.07% of the stock is owned by hedge funds and other institutional investors.

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.