Entergy (ETR) Stock Forecast & Price Target

Entergy's management has raised its long-term growth guidance to greater than 8% through 2028, an increase from the previous range of 6%-8%, indicating a stronger expected performance. Additionally, the company reported a surge in industrial sales with a compounded annual growth rate (CAGR) of 13%, up from 11%-12%, driven by new customer acquisitions in Arkansas. Furthermore, Entergy's capital expenditure plan for 2025-2028 has been increased by $3 billion, which is expected to accelerate generation capacity and enhance the company’s rate base growth.

Entergy's stock has consistently traded at a relative discount, averaging approximately -10% before late 2024, indicating underlying financial concerns that could impact investor sentiment. The company's regulatory environments are perceived to be more challenging than those of its peers, which may restrict its ability to operate effectively and optimize returns. Additionally, Entergy's customer base is characterized by high economic sensitivity, predominantly consisting of industrial clients and lower-income residential customers, who may struggle in a potentially unstable global macroeconomic climate.