ENTERGY CORP (ETR) Stock Fundamental Analysis
NYSE:ETR - New York Stock Exchange, Inc. - US29364G1031 - Common Stock - Currency: USD
Taking everything into account, ETR scores 3 out of 10 in our fundamental rating. ETR was compared to 47 industry peers in the Electric Utilities industry. There are concerns on the financial health of ETR while its profitability can be described as average. While showing a medium growth rate, ETR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year ETR was profitable.
In the past year ETR had a positive cash flow from operations.
ETR had positive earnings in each of the past 5 years.
Each year in the past 5 years ETR had a positive operating cash flow.
1.2 Ratios
ETR has a worse Return On Assets (2.01%) than 85.11% of its industry peers.
ETR has a worse Return On Equity (8.65%) than 65.96% of its industry peers.
The Return On Invested Capital of ETR (3.68%) is worse than 72.34% of its industry peers.
ETR had an Average Return On Invested Capital over the past 3 years of 3.21%. This is significantly below the industry average of 38.54%.
The last Return On Invested Capital (3.68%) for ETR is above the 3 year average (3.21%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.01% | ||
| ROE | 8.65% | ||
| ROIC | 3.68% |
ROA(3y)2.49%
ROA(5y)2.34%
ROE(3y)10.3%
ROE(5y)10.54%
ROIC(3y)3.21%
ROIC(5y)3%
1.3 Margins
With a Profit Margin value of 11.24%, ETR is not doing good in the industry: 65.96% of the companies in the same industry are doing better.
ETR's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 25.88%, ETR is in the better half of the industry, outperforming 72.34% of the companies in the same industry.
In the last couple of years the Operating Margin of ETR has grown nicely.
Looking at the Gross Margin, with a value of 90.79%, ETR belongs to the top of the industry, outperforming 93.62% of the companies in the same industry.
ETR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.88% | ||
| PM (TTM) | 11.24% | ||
| GM | 90.79% |
OM growth 3Y8.93%
OM growth 5Y8.49%
PM growth 3Y-2.29%
PM growth 5Y-4.88%
GM growth 3Y1.5%
GM growth 5Y1.02%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ETR is destroying value.
ETR has more shares outstanding than it did 1 year ago.
ETR has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ETR is higher compared to a year ago.
2.2 Solvency
ETR has an Altman-Z score of 1.00. This is a bad value and indicates that ETR is not financially healthy and even has some risk of bankruptcy.
ETR has a Altman-Z score of 1.00. This is in the better half of the industry: ETR outperforms 61.70% of its industry peers.
ETR has a Debt/Equity ratio of 1.91. This is a high value indicating a heavy dependency on external financing.
ETR's Debt to Equity ratio of 1.91 is on the low side compared to the rest of the industry. ETR is outperformed by 87.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1 |
ROIC/WACC0.44
WACC8.3%
2.3 Liquidity
ETR has a Current Ratio of 0.82. This is a bad value and indicates that ETR is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.82, ETR is in line with its industry, outperforming 40.43% of the companies in the same industry.
A Quick Ratio of 0.55 indicates that ETR may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.55, ETR is doing worse than 70.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.55 |
3. Growth
3.1 Past
ETR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.29%, which is quite good.
Measured over the past 5 years, ETR shows a small growth in Earnings Per Share. The EPS has been growing by 6.36% on average per year.
The Revenue has decreased by -0.24% in the past year.
ETR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.78% yearly.
EPS 1Y (TTM)17.29%
EPS 3Y6.69%
EPS 5Y6.36%
EPS Q2Q%51.85%
Revenue 1Y (TTM)-0.24%
Revenue growth 3Y0.39%
Revenue growth 5Y1.78%
Sales Q2Q%1.87%
3.2 Future
The Earnings Per Share is expected to grow by 9.49% on average over the next years. This is quite good.
ETR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.23% yearly.
EPS Next Y6.94%
EPS Next 2Y9.66%
EPS Next 3Y9.99%
EPS Next 5Y9.49%
Revenue Next Year1.75%
Revenue Next 2Y3.94%
Revenue Next 3Y4.68%
Revenue Next 5Y6.23%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.73 indicates a rather expensive valuation of ETR.
Compared to the rest of the industry, the Price/Earnings ratio of ETR indicates a slightly more expensive valuation: ETR is more expensive than 74.47% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.32, ETR is valued a bit cheaper.
ETR is valuated rather expensively with a Price/Forward Earnings ratio of 18.58.
Based on the Price/Forward Earnings ratio, ETR is valued a bit more expensive than the industry average as 76.60% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, ETR is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.73 | ||
| Fwd PE | 18.58 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ETR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.65 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ETR does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.99
PEG (5Y)3.26
EPS Next 2Y9.66%
EPS Next 3Y9.99%
5. Dividend
5.1 Amount
ETR has a Yearly Dividend Yield of 2.88%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.56, ETR is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, ETR pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
5.2 History
The dividend of ETR decreases each year by -9.03%.
ETR has paid a dividend for at least 10 years, which is a reliable track record.
ETR has decreased its dividend recently.
Dividend Growth(5Y)-9.03%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
ETR pays out 75.86% of its income as dividend. This is not a sustainable payout ratio.
DP75.86%
EPS Next 2Y9.66%
EPS Next 3Y9.99%
NYSE:ETR (6/16/2025, 2:03:08 PM)
81.665
-0.4 (-0.49%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners96.6%
Inst Owner Change6.72%
Ins Owners0.2%
Ins Owner Change8.39%
Market Cap36.45B
Analysts77.5
Price Target89.09 (9.09%)
Short Float %2.22%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
Yearly Dividend2.34
Dividend Growth(5Y)-9.03%
DP75.86%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.46%
Min EPS beat(2)2.66%
Max EPS beat(2)18.26%
EPS beat(4)3
Avg EPS beat(4)7.12%
Min EPS beat(4)-0.41%
Max EPS beat(4)18.26%
EPS beat(8)5
Avg EPS beat(8)1.84%
EPS beat(12)7
Avg EPS beat(12)2.06%
EPS beat(16)8
Avg EPS beat(16)1.47%
Revenue beat(2)0
Avg Revenue beat(2)-10.54%
Min Revenue beat(2)-14.57%
Max Revenue beat(2)-6.51%
Revenue beat(4)0
Avg Revenue beat(4)-8.66%
Min Revenue beat(4)-14.57%
Max Revenue beat(4)-5.18%
Revenue beat(8)0
Avg Revenue beat(8)-14.24%
Revenue beat(12)3
Avg Revenue beat(12)-4.05%
Revenue beat(16)7
Avg Revenue beat(16)-0.31%
PT rev (1m)-3.48%
PT rev (3m)-0.51%
EPS NQ rev (1m)-6.8%
EPS NQ rev (3m)3.03%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)-0.96%
Revenue NQ rev (1m)-1.81%
Revenue NQ rev (3m)-2.85%
Revenue NY rev (1m)-0.82%
Revenue NY rev (3m)-2.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.73 | ||
| Fwd PE | 18.58 | ||
| P/S | 3.05 | ||
| P/FCF | N/A | ||
| P/OCF | 8.09 | ||
| P/B | 2.35 | ||
| P/tB | 2.41 | ||
| EV/EBITDA | 11.65 |
EPS(TTM)3.94
EY4.82%
EPS(NY)4.4
Fwd EY5.38%
FCF(TTM)-4.37
FCFYN/A
OCF(TTM)10.09
OCFY12.36%
SpS26.73
BVpS34.73
TBVpS33.91
PEG (NY)2.99
PEG (5Y)3.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.01% | ||
| ROE | 8.65% | ||
| ROCE | 5.11% | ||
| ROIC | 3.68% | ||
| ROICexc | 3.77% | ||
| ROICexgc | 3.8% | ||
| OM | 25.88% | ||
| PM (TTM) | 11.24% | ||
| GM | 90.79% | ||
| FCFM | N/A |
ROA(3y)2.49%
ROA(5y)2.34%
ROE(3y)10.3%
ROE(5y)10.54%
ROIC(3y)3.21%
ROIC(5y)3%
ROICexc(3y)3.23%
ROICexc(5y)3.04%
ROICexgc(3y)3.25%
ROICexgc(5y)3.07%
ROCE(3y)4.44%
ROCE(5y)4.17%
ROICexcg growth 3Y6.05%
ROICexcg growth 5Y5.84%
ROICexc growth 3Y6.08%
ROICexc growth 5Y5.88%
OM growth 3Y8.93%
OM growth 5Y8.49%
PM growth 3Y-2.29%
PM growth 5Y-4.88%
GM growth 3Y1.5%
GM growth 5Y1.02%
F-Score5
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.33 | ||
| Cap/Depr | 261.69% | ||
| Cap/Sales | 54.08% | ||
| Interest Coverage | 2.57 | ||
| Cash Conversion | 81.08% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.55 | ||
| Altman-Z | 1 |
F-Score5
WACC8.3%
ROIC/WACC0.44
Cap/Depr(3y)234.05%
Cap/Depr(5y)243.38%
Cap/Sales(3y)42.84%
Cap/Sales(5y)46.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.29%
EPS 3Y6.69%
EPS 5Y6.36%
EPS Q2Q%51.85%
EPS Next Y6.94%
EPS Next 2Y9.66%
EPS Next 3Y9.99%
EPS Next 5Y9.49%
Revenue 1Y (TTM)-0.24%
Revenue growth 3Y0.39%
Revenue growth 5Y1.78%
Sales Q2Q%1.87%
Revenue Next Year1.75%
Revenue Next 2Y3.94%
Revenue Next 3Y4.68%
Revenue Next 5Y6.23%
EBIT growth 1Y20.26%
EBIT growth 3Y9.35%
EBIT growth 5Y10.42%
EBIT Next Year96.84%
EBIT Next 3Y35.83%
EBIT Next 5Y25.31%
FCF growth 1Y5.87%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y49.77%
OCF growth 3Y24.95%
OCF growth 5Y9.77%