Entergy COO sells over $1 million in company stock

Entergy Corporation's (NYSE:ETR ) Executive Vice President and Chief Operating Officer, Peter S. Norgeot Jr., has sold a significant number of shares in the company. On September 23, Norgeot sold 7,922 shares of Entergy stock at an average price of $130.00 per share, totaling approximately $1,029,860. This transaction was disclosed in a recent SEC filing.

The sale occurred on the same day Norgeot exercised options to acquire the same number of shares at a price of $95.87 each, amounting to a total of $759,482. It is noteworthy that the transactions reported were carried out under a Rule 10b5-1 trading plan, which Norgeot had adopted on May 10, 2024. Rule 10b5-1 plans allow company insiders to set up a predetermined schedule to sell stocks at a time when they are not in possession of material non-public information, providing a defense against accusations of insider trading.

Following the sale, Norgeot's direct holdings in Entergy stock decreased to 34,993 shares. The options exercised by Norgeot had vested in three equal annual installments starting on January 28, 2022, and became fully exercisable earlier this year on January 28, 2024.

Entergy Corporation, based in New Orleans, Louisiana, is an integrated energy company engaged primarily in electric power production and retail distribution operations. Investors and the market often monitor the buying and selling activities of top executives as they can provide insights into a company's financial health and future performance. However, such transactions do not necessarily indicate a change in company prospects as insiders may sell shares for various reasons such as diversification, liquidity, or personal financial management.

The transactions are part of the standard disclosure process and provide transparency into the actions of Entergy's executives. It is important for investors to consider the context of such sales and any potential implications they may have on their investment decisions.



In other recent news, Entergy Corporation has seen several positive developments. Barclays upgraded Entergy Corp 's stock from Equal Weight to Overweight, citing regulatory advancements and the company's resilience to storm risks. The company's earnings per share (EPS) showcased a compound annual growth rate (CAGR) of 6-8%, which Barclays considers significant and achievable.

In addition, Entergy reported robust second-quarter earnings with an operating EPS of $1.92, surpassing both BMO Capital's and the consensus estimate. This strong performance led BMO Capital to raise its price target for the company to $131, maintaining an Outperform rating. Evercore ISI also increased its price target for Entergy to $120, highlighting potential growth from data centers and large projects in the Gulf region.

These recent developments come after the extension of the Louisiana formula rate plan (FRP), which provides more certainty around nearly 40% of Entergy's three-year capital plan. Despite the potential risk posed by storms, Evercore ISI noted that regulation has historically supported Entergy's storm cost recovery. The company's financial health is also expected to improve, with a forecasted 15% funds from operations (FFO) to debt ratio.
InvestingPro Insights


As Entergy Corporation's (NYSE:ETR) executive leadership engages in notable stock transactions, investors are keen to understand the broader financial landscape of the company. According to real-time data from InvestingPro, Entergy has a market capitalization of $27.77 billion and a P/E ratio that stands at 15.5, indicating the price investors are willing to pay for a dollar of earnings. When adjusted for the last twelve months as of Q2 2024, the P/E ratio shows a more attractive figure at 12.55.

InvestingPro Tips reveal that Entergy has been consistent in returning value to shareholders, having raised its dividend for 9 consecutive years, with a dividend yield as of the most recent data at 3.48%. This sustained dividend performance is a testament to the company's commitment to shareholder returns, having maintained dividend payments for 37 consecutive years. Furthermore, the company's stock has experienced a strong return over the last three months, with a 21.87% price total return, and is trading near its 52-week high, at 99.14% of the peak price.

Investors considering Entergy's stock should note that the company's gross profit margin remains robust at 45.64%, as per the last twelve months leading up to Q2 2024. However, it is also important to consider that analysts have revised their earnings expectations downwards for the upcoming period. For those seeking a more comprehensive analysis, there are additional InvestingPro Tips available, which can offer deeper insights into Entergy's financial health and stock performance. To explore these insights, visit https://www.investing.com/pro/ETR.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Source: Investing.com