Introduction
Utility companies such as Entergy (ETR) are often sought after for their relatively steady and predictable earnings that in turn should make their dividend safety high. On the surface this sounds quite reasonable; however, upon digging deeper, years of high capital expenditure have left their leverage taking an unsustainable path that ultimately calls into question the medium to long-term sustainability of their dividends. The type of company does not matter since no company, government or household can see their leverage increasing indefinitely.
Executive Summary and Ratings
Since many readers are likely short