Entergy Q3 profit beats estimates on retail sales; raises dividend

Overview

• U.S. electric utility's Q3 adjusted EPS rose yr/yr, beating analyst expectations

• Company's earnings driven by higher retail sales and regulatory actions, partly offset by higher costs

• Entergy raised quarterly dividend by 6%

Outlook

• Entergy narrows 2026 adjusted EPS guidance to $4.35-$4.45

• Company affirms its financial outlooks for 2026

Result Drivers

• RETAIL SALES VOLUME - Co said higher retail sales, including weather effects, drove Q3 earnings increase

• REGULATORY ACTIONS - Net effect of regulatory actions across several operating companies contributed to earnings growth

• PLANT INVESTMENT RETURNS - Return on construction work in progress for certain utility plant investments supported results

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 19 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electric utilities peer group is "buy"

• Wall Street's median 12-month price target for Entergy Corp is $121.00, about 9.9% above its October 30 closing price of $110.11

• The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 22 three months ago

Reuters Recommended Reads

• Oct 30 - Dominion Energy Q3 profit beats estimates on rider equity return

• Oct 30 - Alliant targets 1 GW of new data-center contracts in six months as power demand surges

• Oct 31 - Power bills and data centers cast rare spotlight on utilities in US midterms

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)