Earnings and guidance in focus

IDACORP (IDA) has drawn fresh attention after reporting 2025 results with lower reported revenue but higher net income and earnings per share, along with new 2026 earnings guidance of $6.25 to $6.45 per diluted share.

IDACORP’s recent earnings release and 2026 guidance landed after a strong run, with a 30 day share price return of 7.9% and a 12.5% year to date share price gain. The 1 year total shareholder return of 23.7% and 5 year total shareholder return of 79.9% point to momentum that has been building over a longer period.

If these earnings have you thinking more broadly about infrastructure plays, it could be a good moment to look at 23 power grid technology and infrastructure stocks as potential additions to your watchlist.

With earnings per share at $5.90 for 2025, guidance pointing to $6.25 to $6.45 in 2026, and the share price close to its analyst target, is IDACORP still offering upside, or is the market already pricing in future growth?

Most Popular Narrative: 2% Undervalued

The most followed narrative currently sees IDACORP’s fair value at about $146.22, a touch above the last close of $143.24. This keeps the focus squarely on how earnings and regulatory outcomes evolve from here.

Robust customer and population growth in IDACORP's service area, combined with significant new large-scale industrial investments (e.g., Micron fabs, data centers), suggests sustained above-average electricity demand well into the 2030s, supporting long-term revenue growth.

Curious how that projected demand translates into the $146 fair value? The narrative leans on rising margins, steady earnings growth, and a richer future earnings multiple to support that price. The exact mix of assumptions may surprise you.

Result: Fair Value of $146.22 (UNDERVALUED)

However, this story depends on regulators allowing timely cost recovery and on weather cooperating, because hydro exposure leaves earnings sensitive to drought or low precipitation.

Another View: Richer P/E Puts Pressure On The Story

That $146 fair value hinges on earnings and margin assumptions, but the current P/E of 24.3x tells a slightly tougher story. It sits above the US Electric Utilities industry at 22.7x and above IDACORP’s own 21.5x fair ratio. In practice, you are paying a premium that leaves less room if expectations soften.

Next Steps

Reading all this and still on the fence about IDACORP’s balance of concerns and potential? Take a close look at the data now and weigh the trade offs for yourself. Then check out 2 key rewards and 2 important warning signs to see how other investors are framing that mix.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.