About IDACORP INC
IDACORP, Inc., together with its subsidiaries, engages in the generation, transmission, distribution, purchase, and sale of electric energy in the United States. The company operates 17 hydropower generating plants located in southern Idaho and eastern Oregon; three natural gas-fired plants in southern Idaho; and interests in two coal-fired steam electric generating plants located in Wyoming and Nevada. As of December 31, 2021, it had approximately 4,843 pole-miles of high-voltage transmission lines; 23 step-up transmission substations located at power plants; 21 transmission substations; 10 switching stations; 30 mixed-use transmission and distribution substations; 187 energized distribution substations; and 28,570 pole-miles of distribution lines, as well as provides electric utility services to approximately 604,000 retail customers in southern Idaho and eastern Oregon. The company serves commercial and industrial customers, which involved in food processing, electronics and general manufacturing, agriculture, health care, government, and education.
It also invests in housing and other real estate tax credit investments. IDACORP, Inc. was founded in 1915 and is headquartered in Boise, Idaho.
IDA operates in the Transportation, Communications, Electric, Gas, And Sanitary Services | Utilities | headquartered in Boise, Idaho | approximately 2,070 employees | led by CEO Lisa A. Grow.
The $12.3B question: What happens when a company this good becomes this expensive?
In the constellation of American capitalism, certain companies shine brighter than others — not because they are inherently more valuable, but because they have positioned themselves at the nexus of forces that shape the economy. IDACORP INC is one such company.
At $12.3B in market capitalization, IDACORP INC (IDA) currently ranks #235 in our quantitative model, with a composite score of 75.8/100. That places it firmly in "Strong Buy" territory — our highest conviction rating.
But here's the thing about stocks priced for perfection: They leave no room for error.
The Numbers That Matter
Let's start with what's undeniably true. Our 6-factor model gives IDA the following scores:
| Factor | Score | Weight | Assessment |
|---|---|---|---|
| Quality | 37/100 | 30% | Moderate |
| Value | 96/100 | 15% | Attractive |
| Momentum | 71/100 | 25% | Accelerating |
| Investment | 61/100 | 10% | Growing |
| Stability | 93/100 | 10% | Fortress |
| Short Interest | 21/100 | 10% | High shorts |
The quality score of 37/100 is the headline here. It reflects profitability metrics that would make most CFOs weep with envy:
- ROE: 13.5%
- Net Margin: 23.8%
- Gross Margin: 39.6%
These aren't just good numbers. They're the kind of numbers that make IDA a "must-own" stock for institutional portfolios.
The Bull Case
"If you could design a business in a laboratory, it would look something like IDA."
The bull case writes itself:
- Quality is persistent. Academic research shows high-quality stocks outperform by 4-6% annually over long periods. IDA is quality defined.
- Momentum is real. With a momentum score of 71/100, the stock has been recognized by the market — and momentum tends to persist.
- The moat is deep. Companies with these margins don't lose them easily. The competitive position is entrenched.
The Bear Case
But here's what keeps value investors up at night:
- Valuation compression risk. At current levels, the stock is priced for continued perfection. Any stumble — a missed quarter, a competitive threat, a macro slowdown — could compress the multiple from 38.8x to the low 20s. That's a 20-30% decline without anything fundamentally "wrong."
- The crowded trade problem. When everyone owns a stock, who's left to buy? Momentum works until it doesn't.
- Mean reversion. Trees don't grow to the sky. At some point, growth decelerates.
The Valuation Framework
| Scenario | Assumption | Fair Value | Upside/Downside |
|---|---|---|---|
| Bear | Multiple compression to 20x | -20% | Downside |
| Base | Current trajectory continues | +10-15% | Modest upside |
| Bull | Momentum accelerates | +30-40% | Significant upside |
The risk-reward is ... fine. Not exceptional. Not terrible. Just fine.
The Bottom Line
IDACORP INC is exactly what it appears to be: a high-quality business with strong momentum trading at a premium price. Whether that's attractive depends entirely on what kind of investor you are.
For long-term, buy-and-hold investors, IDA is a core holding. For value investors or short-term traders, look elsewhere.
The company is priced for perfection — and in markets, as in life, perfection is a fragile thing.
⭐⭐⭐⭐⭐ Rating: 5-Star Strong Buy
Score: 75.8/100 | Rank: #235 of 3,571 stocks
Sector: Utilities
This analysis reflects the views of Blank Capital Research as of February 16, 2026. It is not investment advice. Past performance does not guarantee future results.