Entergy Stock Jumps 8% on Meta Data Center Deal

Edgen Stock

·Mar 30 2026, 12:26

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Key Takeaways

Entergy's stock climbed after securing a major power agreement with Meta, reflecting strong investor confidence in the utility's ability to capitalize on the growing energy demands of the tech sector. The deal provides a long-term revenue stream and aligns with a broader industry trend of rising electricity consumption from data centers.

Stock Performance: Entergy (ETR) shares popped more than 8% on higher-than-average trading volume after the company announced a significant new partnership.
Deal Economics: The agreement with Meta to power a hyperscale data center is expected to deliver approximately $2 billion in savings to Entergy Louisiana customers over 20 years.
Growth Outlook: The deal reinforces a bullish outlook for Entergy, which has a projected long-term earnings growth rate of 11.50%, supported by rising electricity demand from data centers and electrification.

Meta Deal Powers Entergy Stock Up Over 8%

Entergy's (ETR) stock surged more than 8% after the utility announced a major power supply agreement with Meta Platforms. The deal will support Meta's new hyperscale data center in Northeast Louisiana, directly linking Entergy to the high-growth technology infrastructure sector. The move was met with strong investor approval, evidenced by higher-than-average trading volume that drove the stock higher.

The financial structure of the agreement is significant, projected to deliver approximately $2 billion in savings to Entergy Louisiana customers over a 20-year term. This long-term contract provides a stable revenue outlook and showcases Entergy's strategic positioning to serve large-scale industrial power consumers.

Data Center Demand Fuels 11.5% Growth Outlook

The partnership with Meta highlights a critical industry trend: the rapid expansion of data centers is creating substantial new demand for electricity. As sectors like artificial intelligence and cloud computing grow, utilities like Entergy are positioned for sustained growth by providing the necessary power infrastructure. This single deal validates the company's ability to win large, long-duration contracts in a competitive market.

This positive operational development supports a strong financial forecast for the company. Analysts project a long-term earnings growth rate of 11.50% for Entergy, with the consensus estimate for its 2026 earnings per share (EPS) at $4.41, implying year-over-year growth of 12.8%. The company's ability to secure major clients like Meta reinforces its 'Buy' rating and strengthens its outlook among investors.