The 10-second takeaway
For the quarter ended March 31 (Q1), Entergy met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share grew significantly. GAAP earnings per share grew.
Margins grew across the board.
Entergy tallied revenue of $2.61 billion. The four analysts polled by S&P Capital IQ predicted a top line of $2.60 billion on the same basis. GAAP reported sales were 9.4% higher than the prior-year quarter's $2.38 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.94. The eight earnings estimates compiled by S&P Capital IQ predicted $0.92 per share. Non-GAAP EPS of $0.94 for Q1 were 114% higher than the prior-year quarter's $0.44 per share. GAAP EPS were $0.90 for Q1 against -$0.86 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 34.9%, 240 basis points better than the prior-year quarter. Operating margin was 15.1%, 260 basis points better than the prior-year quarter. Net margin was 6.2%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $2.73 billion. On the bottom line, the average EPS estimate is $1.39.
Next year's average estimate for revenue is $11.02 billion. The average EPS estimate is $4.92.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 344 members out of 367 rating the stock outperform, and 23 members rating it underperform. Among 99 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 98 give Entergy a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Entergy is hold, with an average price target of $65.54.
Can your portfolio provide you with enough income to last through retirement? You'll need more than Entergy. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add Entergy to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
More from The Motley Fool
Vermont Just Lost 70% of Its Power From This Nuclear Shutdown
The closure of Vermont Yankee could put a hurting on the electricity bills of New England residents this winter. What does -- and doesn't -- it mean for America's energy landscape?
Entergy Corporation Exceeds Q1 Earnings on Cold Weather
Entergy affirmed its fiscal 2014 adjusted earnings guidance range of $5.55 to $6.75 per share.
Time to Pull the Plug on Entergy Corporation?
The company could be forced to shut down other nuclear power plants in the Northeast if the license for Indian Point isn't extended.