Entergy’s (ETR) dividend growth has been subdued in the last few years. Wall Street analysts expect this trend to continue. Let’s take a look at Entergy’s total returns in the last few years.
In the last year, Entergy delivered total returns of 23%, while broader utilities (XLU) returned 13%. Total returns consider dividends paid as well as stock appreciation in a particular period.
Entergy’s slow but stable dividend growth and sturdy market performance delivered solid returns over the long run, which outperformed utilities at large. In the last five years, mid-sized utility Entergy returned 78%, and broader utilities returned 67%. Returns of utilities mentioned above beat broader markets in the last five years. Entergy’s peers Xcel Energy (XEL) and Consolidated Edison (ED) returned 73% and 115%, respectively, in the same period.
Xcel Energy’s robust market performance and higher dividend growth contributed to healthier total returns in the long run. You can read about utilities with solid total returns in Market Realist’s series Utilities with Maximum Returns in the Last Five Years.