Entergy Arkansas asks federal judge to stop Democrat-Gazette from publishing data center info

Entergy claims Google's Arkansas solar payments could total $2.1B over 20 years, correcting earlier figures. Alphabet (GOOGL) and Entergy (ETR) highlight power infrastructure's role in AI compute. Alphabet's long-term energy commitments secure capacity, while Entergy gains a large customer. Both companies face risks, including regulatory scrutiny and counterparty exposure. Hedge fund holdings and short interest data are provided.

Alphabet Inc. (GOOGL) agreed to pay $716 million for solar and grid upgrades in Arkansas, benefiting Entergy Corporation (ETR). The deal highlights electricity costs as a potential constraint on AI growth. Entergy stands to gain from expanded rate base, while Alphabet faces long-term power obligations. Hedge funds increased stakes in both companies, with short interest in Entergy at 4.36% of float.

Google will pay Entergy Arkansas $526 million to build a solar project for its West Memphis data center. A court fight ensued after documents were released, with Entergy seeking to block news outlets from publishing the information, claiming it contains confidential business details. The total cost of the solar and battery facility is $1.6 billion, with Google covering about one-third. Entergy also requested the destruction of any copies of the disclosed information.

Google (GOOGL) will pay Entergy Arkansas $526M to build a 600MW solar facility and 350MW battery system to power its West Memphis data center. The deal includes $190M for transmission upgrades. Google will pay $443M in accelerated payments and $83M in minimum demand payments. The 20-year contract may renew in 3-year terms, with a potential $2B termination fee guaranteed by Alphabet Inc. (GOOGL).

Entergy (ETR) reported Q2 2026 earnings of $1.03 per share, exceeding expectations but slightly below last year. The company reaffirmed its 2026 guidance and long-term growth targets. Shares have returned 12.67% year-to-date and 23.04% over the past year, with long-term returns of 147.13% and 123.81% over three and five years, respectively. Analysts debate its valuation, with some seeing it as undervalued at $105.75 and others noting its high P/E ratio of 27.5x.

Entergy (ETR) reported Q2 2026 earnings of $1.03 per share, beating estimates but slightly down year-over-year. The company reaffirmed its 2026 adjusted earnings guidance. Shares have risen 12.67% year-to-date to $105.75, with a 23.04% total shareholder return over the past year. Analysts debate its valuation, with one narrative suggesting a 13.2% undervaluation at a fair value of $121.88, while another notes its P/E ratio is above industry peers.