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Here's Why You Should Add IDACORP (IDA) to Your Portfolio

IDACORP Inc. IDA is poised for growth, given customer additions, improving economic conditions in its service territories and increase in usage per customer.

Upward Estimate Revisions: The Zacks Consensus Estimate for earnings for the current year and 2020 has been revised 0.2% and 0.21% upward, respectively, over the past 30 days.

IDACORP has an expected long-term earnings per share growth of 3.9%.

Impressive Price Performance: Shares of IDACORP have gained 11.8% in the past 12 months, outperforming the industry and the S&P 500 Index’s 11.3% and 0.2% growth, respectively.

Price Performance (One Year)



Consistent Customer Growth: Unemployment rate in its service area is presently 2.9% compared with the national average of 3.7%. Gross domestic product in the company’s service area is expected to grow 3.6% and 4.3% in 2019 and 2020, respectively.

The ongoing economic improvements in its service territories have helped the company to expand the customer base. In second-quarter 2019, customer growth in its service area led to a year-over-year increase in operating income by $4.2 million, as the number of Idaho Power customers grew 2.5% over the past 12 months.

Capital projects: The company projects capital expenditure to be nearly $1.5 billion in the 2019-2023 time period. Owing to its systematic investments for strengthening the generation portfolio, Idaho Power Hydroelectric Generation will be able to cater to the rising demand of the expanding customer base.

It is projected that nearly 11,000 new customers will move to IDACORP’s service area each year over the next two decades. Also, the company expects peak load to grow at an average of 50 megawatts per year. Notably, the company will continue to gain from new customers.

Zacks Rank & Other Stocks to Consider

Currently, IDACORP flaunts a Zacks Rank #2 (Buy). Other top-ranked stocks in the utility sector include Alliant Energy Corporation LNT, Unitil Corporation UTL and NRG Energy Inc. NRG, each holding a Zacks #2. You can see https://www.zacks.com/stocks/buy-list/?ADID=zp_1link&ICI... _1link">the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Alliant Energy, Unitil Corporation and NRG Energy’s long-term (three to five years) earnings growth is projected at 5.54%, 4.36% and 36.26%, respectively.

The Zacks Consensus Estimate for Alliant Energy, Unitil Corporation and NRG Energy for 2019 has moved up 0.4%, 0.9% and 4.9%, respectively, in the past 60 days.

It’s Illegal in 42 States, But Investors Will Make Billions Legally

In addition to the companies you read about above, today you get details on the newly-legalized industry that’s tapping into a “habit” that Americans spend an estimated $150 billion on every year.

That’s twice as much as they spend on marijuana, legally or otherwise.

Zacks special report revealing how investors can profit from this new opportunity. As more states legalize this activity, the industry could expand by as much as 15X. Zacks’ has just released a Special  Report revealing 5 top stocks to watch in this space.

See these 5 “sin stocks” now>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
IDACORP, Inc. (IDA): Free Stock Analysis Report
 
Alliant Energy Corporation (LNT): Free Stock Analysis Report
 
NRG Energy, Inc. (NRG): Free Stock Analysis Report
 
Unitil Corporation (UTL): Free Stock Analysis Report
 
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