Is Entergy Corporation (ETR) overvalued?
On Equity Rank's model estimate, ETR trades 25% above its fair value. Entergy Corporation (ETR) last closed at $110.55; the multi-method model fair value is $88.28.
| Price | Model fair value | Price vs model |
|---|---|---|
| $110.55 | $88.28 | 25% above |
What the answer rests on
- 1 of 11 valuation methods put ETR's value above its price and 10 put it below, so the methods mostly agree.
- ETR trades at 25.6 times its last year's earnings, against a median of 21.1 for 66 profitable Utilities companies.
- Over the past year the price sat below the model fair value on 0% of trading days. The gap ranged from 22% above to 108% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind ETR's fair value · What prices assume · Other companies