NEW ORLEANS - Entergy Corporation (NYSE:ETR), an integrated energy company, has announced an increase in its quarterly dividend. Today, the company's board of directors declared a dividend of $1.20 per share on its common stock, marking an increase of $0.07 per share. The dividend is slated for payment on December 2, 2024, to shareholders on record as of November 13, 2024.
The announcement underscores Entergy's continuous practice of rewarding its shareholders with a cash dividend, a tradition upheld since 1988. Entergy, with a history of more than 100 years, serves approximately 3 million customers across Arkansas, Louisiana, Mississippi, and Texas. The company is recognized for its commitment to sustainability and corporate citizenship, contributing over $100 million annually to local communities since 2018 through various initiatives.
Entergy's investment in the energy system's reliability and resilience supports the transition to more efficient and cleaner energy solutions, positioning the company as a leader in the energy sector. Headquartered in New Orleans, Louisiana, Entergy employs around 12,000 people.
The information provided in this article is based on a press release statement from Entergy Corporation.
In other recent news, Entergy Corporation reported robust second-quarter earnings, surpassing estimates with an operating EPS of $1.92. The company also confirmed a strong net liquidity of $5.9 billion, indicating a positive financial trajectory. Entergy has been the subject of several analyst upgrades, with Barclays (LON:BARC) shifting the company's stock from Equal Weight to Overweight, citing resilience to storm risks and positive regulatory developments. Both BMO Capital and Evercore ISI also raised their price targets for the company, noting potential growth from data centers and large projects in the Gulf region.
In leadership developments, Roderick K. West, Group President of Utility Operations, is set to retire in January 2025. From November 2024, West will serve as a senior strategic advisor within the company. To fill the board vacancy created by West's departure, Kimberly A. Fontan, currently the Executive Vice President and Chief Financial Officer, is expected to be elected to the Board of Directors of Entergy New Orleans, LLC.
Furthermore, KeyBanc Capital Markets raised Entergy's price target from $140.00 to $143.00, reiterating its Overweight rating on the stock. This upgrade follows a settlement in the System Energy Resources, Inc. proceedings, which KeyBanc believes removes a significant obstacle previously hindering the stock's valuation. These are among the recent developments in Entergy's operations and strategic direction.
InvestingPro Insights
Entergy Corporation's recent dividend increase aligns with its strong track record of shareholder returns. According to InvestingPro data, the company's dividend yield stands at 3.29%, with a dividend growth rate of 5.61% over the last twelve months as of Q2 2024. This commitment to dividend growth is further supported by an InvestingPro Tip, which notes that Entergy has raised its dividend for 9 consecutive years.
The company's financial health appears robust, with a market capitalization of $29.2 billion and a P/E ratio of 16.33. Entergy's profitability is evident, as highlighted by another InvestingPro Tip indicating that the company has been profitable over the last twelve months. This solid performance is reflected in the stock's strong market performance, with a one-year price total return of 55.14% as of the latest data.
Investors considering Entergy might find additional value in exploring the full range of InvestingPro Tips, which offers 13 more insights not covered here. These tips could provide a more comprehensive view of Entergy's financial position and market outlook, potentially aiding in more informed investment decisions.
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