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Entergy (ETR) Beats on Q4 Earnings, Misses on Revenues

Zacks Equity Research

New Orleans, LA based Entergy Corporation ETR is primarily engaged in electric power production and retail distribution of power. Entergy's disciplined investments in growth projects are expected to be the major drivers for earnings over the long haul. Entergy plans to invest $10.3 billion in the 2017–2019 time frame, with the major share going to its generation and transmission business.

Moreover, the company is focused on maximizing shareholder value and has a current dividend yield of 4.72%, much higher than the industry average of 3.59%, which has propelled investor’s interest in the stock.

However, the company depends upon rate relief at regular intervals and any adverse decision can materially impact the company’s earnings.

Estimate Trend & Surprise History

Investors should note that the fourth quarter Zacks Consensus Estimate for earnings of 11 cents per share has decreased by 2 cents over the last 7 days.

Coming to the earnings surprise, Entergy has surpassed the Zacks Consensus Estimate in the last four quarters, resulting in a positive average surprise of 59.60%.

Zacks Rank: Currently, Entergy has a Zacks Rank #3 (Hold) but that could change following its fourth-quarter 2016 earnings report which has just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Entergy Corporation Price and EPS Surprise


Entergy Corporation Price and EPS Surprise | Entergy Corporation Quote

We have highlighted some of the key details from the just-released announcement below:

Earnings: Entergy’s fourth-quarter earnings of 31 cents surpassed the Zacks Consensus Estimate of 11 cents per share.

Revenues: The company posted revenues of $2,648.5 million in fourth quarter, compared to our consensus estimate of $2,937 million.

Stock Price: It would be interesting to see how the market reacts to the earnings surprise during the trading session today.

Check back for our full write up on this ETR earnings report later!

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